Minsur, through its subsidiary Cumbres Andinas, announced today the acquisition of shares that KLS Limited held in Marcobre S.A.C., which account for 30% of said company's share capital, a press release confirmed.
As a result of this transaction, Minsur S.A. and its subsidiaries have consolidated 100% of shares of Marcobre S.A.C., a company owning and currently developing Mina Justa copper project, located in Ica region, 450 km south of Lima, Peru. The project is currently in the feasibility stage.
Total consideration agreed by parties will be paid as follows: US$60 million at closing on September 30, 2016; plus five tranches of US$5 million each (per year) paid from whichever comes first between: (a) 10 business days after the start of commercial production of Mina Justa project; or (b) as of September 30, 2023.
In order for Cumbres Andinas S.A. to rely on necessary funds to execute such transaction, the Board of Directors of Minsur S.A. has approved a capital-cash contribution of up to US$60 million.