OZ Minerals will commence a compulsory takeover of Brazil-focused miner Avanco Resources after acceptances for the deal moved beyond 90 per cent.
Adelaide-based OZ Minerals launched a $418 million takeover bid for Avanco in March. Avanco’s assets include several copper operations in Brazil, such as the Antas mine and Pedra Branca project.
OZ Minerals today reported that its interest in Avanco had risen to 90.46 per cent of the target’s shares. It, therefore, plans to acquire all of the remaining shares from shareholders who have not accepted the offer.
Andrew Cole, OZ Minerals chief executive officer, said the acquisition of Avanco had now reached a milestone.
“The combination of OZ Minerals and Avanco provides an operating asset in Antas, and importantly it adds to our organic growth pipeline with its development and exploration opportunities in the Carajas and Gurupi provinces in Brazil,” Cole said.
“Our integration team and other key personnel are now in Brazil working with the Avanco team to optimise the assets and unlock the potential of the impressive project pipeline.”
The offer remains open until July 6.