Lundin Mining Corporation (TSX:LUN) entered into a binding purchase agreement to acquire 51% stake in Caserones Copper Mine in Chile from JX Nippon Mining & Metals Corporation for CAD 950 million on March 27, 2023. JX will receive upfront cash consideration from Lundin Mining of CAD 800 million, and in addition, CAD 150 million in deferred cash consideration will be payable by Lundin Mining in installments over a six-year period following the closing date. The purchase price is expected to be funded from Lundin Mining's revolving credit facility. As of March 2022, Caserones Copper Mine in Chile reported net assets of -$1.055 billion (CAD 0.770 billion), total assets of $2.905 billion (CAD 2.120 billion), EBIT of $0.394 billion (CAD 0.2876 billion) and net sales of $1.244 billion (CAD 0.9081 billion) The Acquisition is subject to typical closing conditions, including third-party and requisite regulatory approvals and has been unanimously approved by the Board of Directors of both the Companies. As of July 1, 2023, transaction still awaits approval of National Economic Prosecutor's Office. As of July 12, 2023, Chile's FNE has approved the transaction. The transaction is expected to close in June 2023. As of May 3, 2023, the transaction is expected to close early in the second half of this year. The Term Loan is subject to the execution and delivery of definitive documentation in form and substance satisfactory to the Company and the Term Loan lenders and satisfaction of relevant conditions precedent.

JPMorgan Chase & Co. (NYSE:JPM) acted as financial advisor to JX Nippon Mining & Metals Corporation. Scotiabank acted as financial advisor and provided a fairness opinion to the Board of Directors of Lundin. Jeremy Weyland qualified person for the scientific and technical information reviewed and approved the technical information. Scotiabank acted as financial advisor, Cassels Brock & Blackwell LLP acted as Canadian legal advisor, Ian Hazlett and Adam Givertz of Paul, Weiss, Rifkind, Wharton & Garrison LLP, Bofill Mir Abogados and Bofill Escobar Silva Abogados acted as Chilean legal advisors to Lundin Mining in the transaction. Mitsuhiro Kamiya, Joe Yaffe, Andrew Foster, Anne Villanueva, Nathan Giesselman and Ken Kumayama of Skadden, Arps, Slate, Meagher & Flom acted as legal advisor to JX Nippon Mining & Metals Corporation. BofA Securities, Inc. acted as financial advisor to JX Nippon Mining & Metals Corporation.

Lundin Mining Corporation (TSX:LUN) completed the acquisition of 51% stake in Caserones Copper Mine in Chile from JX Nippon Mining & Metals Corporation on July 13, 2023.