Hill Dickinson’s London Corporate team has advised AIM-listed Arc Minerals Limited on its entry into a binding joint venture agreement with a subsidiary of Anglo American plc in respect of its copper interests in North Western Zambia.
Pursuant to the joint venture, Anglo American will have the right to retain up to 70% shareholding in the joint venture company subject to an aggregate investment of up to US$88.5 million being made by them, including cash consideration payable to Arc Minerals and its fellow shareholder, Kopara Investments, of US$14.5 million.
Arc Minerals and Anglo American entered into the joint venture in April 2023 and it will come into effect upon satisfaction of certain conditions precedent. On 27 October 2023, Arc Minerals announced that all substantive regulatory conditions precedent in relation to the transaction had been satisfied and that there remain certain minor procedural conditions to be satisfied, which is expected to occur shortly.
The Hill Dickinson team advising Arc Minerals on the transaction was led by partner Sam Hudson.
Commenting, Nick von Schirnding, executive chairman of Arc Minerals, said: “This marks a major turning point for Arc and our shareholders. I am delighted that we have now satisfied the substantive regulatory conditions precedent to completing the JVA and that the joint venture drilling campaign led by our partners, Anglo American, has commenced. We are grateful for the assistance provided by Hill Dickinson. They have been supportive of Arc Minerals throughout this process and have worked alongside us and Anglo American in a pragmatic and commercial manner which helped to ensure that an agreement was entered into between the parties. We look forward to working with them again in the future.”
Commenting for Hill Dickinson, Sam Hudson said: “It was a pleasure to be able to assist Arc Minerals on this significant investment which sees them partner with a major mining company in order for their project to be advanced. We wish Arc Minerals and Anglo American every success moving forward.”
