The approval, announced on September 26, follows a special meeting of shareholders.
The acquisition was overwhelmingly approved by Filo shareholders, with 99.99 percent voting in favor.
The arrangement is subject to various closing conditions, including regulatory approvals and a final order from the Ontario Superior Court of Justice, which is scheduled for October 2. If approved, the deal is expected to close in Q1 2025.
Filo shareholders will receive information on how to exchange their shares through a letter of transmittal, which will be mailed to registered shareholders and made available online.
Under the terms announced in July, BHP and Lundin Mining have agreed to pay Filo shareholders C$33 per share, either in cash or in a combination of cash and Lundin Mining shares. Total cash consideration will be capped at C$2.767 billion, while share consideration will be limited to 92.1 million Lundin Mining shares.
Filo, BHP and Lundin Mining have also entered into a subscription agreement for a private placement, where each purchasing party will subscribe for 3.48 million Filo shares at C$33 each, raising approximately C$115 million.
The integration of Filo del Sol and Josemaria is anticipated to strengthen BHP and Lundin Mining’s positions in the copper-gold sector and expand their operational footprint in Argentina.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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