Luoyang Molybdenum's RMB18 billion private placement approved after the completion of RMB27 billion overseas acquisition
2017-01-20 18:56:44 [Print]
On January 19, Luoyang Molybdenum made an announcement that the company's application to issue A shares through private placement had been approved by the China Securities Regulatory Commission.
In accordance with the previously announced plans, Luoyang Molybdenum will issue about 57.14 million shares at a price of RMB3.15 (USD0.46) per share and raise funds of no more than RMB18 billion (USD2.62 billion)for the acquisition of Brazilian niobium, phosphorus assets and copper & cobalt project in Congo (gold).
It took only eight months for Luoyang Molybdenum to announce the first transaction, complete the two acquisition with a total value of USD4.15 billion, get approval by the NDRC, the Ministry of Commerce, the SAFE and a number of foreign institutions, and acquire approval of private placement of RMB18 billion (USD2.62 billion).
On April 28, 2016, Luoyang Molybdenum announced that it planned to acquire Anglo American PLC's niobium and phosphorous project in Brazil for USD1.5 billion (USD218.18 million). Subsequently, the Company issued a public notice on May 9, intending to acquire a 56% stake in Freeport-McMoRan's Tenke copper and cobalt mine project located in the Congo (gold) for USD2.65 billion (USD385.45 million). The two projects, with a total value of USD4.15 billion, was the largest acquisition for overseas resource project launched by Chinese companies since last year.
On October 1 and November 17 of last year, Luoyang Molybdenum announced the completion of the delivery of these two projects, meaning that it took only about six months to complete the two acquisitions.
At the same time, in order to further enhance the company's global competitiveness, Luoyang Molybdenum on May 20 last year issued a non-public offering plan. Luoyang Molybdenum plans to raise funds of not more than RMB18 billion (USD2.62 billion).
The acquisition is a new milestone to Luoyang Molybdenum since it acquired a 80% stake in NPM's copper and gold mine in Australia.
After the completion of this acquisition, Luoyang Molybdenum has become the world's second largest manufacturer of niobium iron, second largest phosphate fertilizer producer in Brazil, second largest cobalt producer and one of the most important copper producers in the world. The company further enhances the company's profitability and ability to resist risks while it optimizes the company's portfolio and implements the company's international investment strategy.
In accordance with the previously announced plans, Luoyang Molybdenum will issue about 57.14 million shares at a price of RMB3.15 (USD0.46) per share and raise funds of no more than RMB18 billion (USD2.62 billion)for the acquisition of Brazilian niobium, phosphorus assets and copper & cobalt project in Congo (gold).
It took only eight months for Luoyang Molybdenum to announce the first transaction, complete the two acquisition with a total value of USD4.15 billion, get approval by the NDRC, the Ministry of Commerce, the SAFE and a number of foreign institutions, and acquire approval of private placement of RMB18 billion (USD2.62 billion).
On April 28, 2016, Luoyang Molybdenum announced that it planned to acquire Anglo American PLC's niobium and phosphorous project in Brazil for USD1.5 billion (USD218.18 million). Subsequently, the Company issued a public notice on May 9, intending to acquire a 56% stake in Freeport-McMoRan's Tenke copper and cobalt mine project located in the Congo (gold) for USD2.65 billion (USD385.45 million). The two projects, with a total value of USD4.15 billion, was the largest acquisition for overseas resource project launched by Chinese companies since last year.
On October 1 and November 17 of last year, Luoyang Molybdenum announced the completion of the delivery of these two projects, meaning that it took only about six months to complete the two acquisitions.
At the same time, in order to further enhance the company's global competitiveness, Luoyang Molybdenum on May 20 last year issued a non-public offering plan. Luoyang Molybdenum plans to raise funds of not more than RMB18 billion (USD2.62 billion).
The acquisition is a new milestone to Luoyang Molybdenum since it acquired a 80% stake in NPM's copper and gold mine in Australia.
After the completion of this acquisition, Luoyang Molybdenum has become the world's second largest manufacturer of niobium iron, second largest phosphate fertilizer producer in Brazil, second largest cobalt producer and one of the most important copper producers in the world. The company further enhances the company's profitability and ability to resist risks while it optimizes the company's portfolio and implements the company's international investment strategy.
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