Metals Acquisition Corp. (NYSE: MTAL.U) shares stalled Tuesday, on word that it has received approval from the Australian Foreign Investment Review Board of its proposed acquisition of the CSA Copper Mine, subject to customary tax and reporting obligations
Mick McMullen, MAC CEO, said: "We are pleased to have satisfied this Condition Precedent under the CSA acquisition agreement as we work towards obtaining shareholder approval and finalizing the transaction.
MAC’s status as a foreign investor under Australian law, together with the nature of the assets being acquired from Glencore, necessitated the acquisition of CSA being subject to regulatory review in accordance with the Australian Foreign Acquisitions and Takeovers Act 1975 (Cth). The Treasurer of the Commonwealth of Australia, acting through the Australian government’s FIRB organization, has confirmed that there is No
Objections to the transfer of CSA and associated land so that it will be under the control and ownership of MAC. Conditions attached to the No Objection are standard and involve post-Closing tax and reporting obligations.
Since our March 17th announcement, MAC has deepened its understanding of CSA. We remain convinced that CSA is a strong strategic fit for MAC and that our team has the skills necessary to realize its full potential. We believe CSA provides us with an ideal cornerstone asset with which to establish a high-quality, mid-tier base metals portfolio.”
CSA is a producing, high-grade, underground copper mine located in the Tier 1 mining jurisdiction of western New South Wales, Australia. It has been in operation since 1967.
MTAL.U shares began Tuesday trading at $9.78.
