SPACInsider Logo
Metals Acquisition Corp. (MTAL) Adds Additional Funding to CSA Copper Mine Deal
by Marlena Haddad on 2023-03-22 at 5:46pm

Metals Acquisition Corp. (NYSE:MTAL) announced in an 8-K this afternoon that it has entered into a silver stream equity subscription agreement, redemption backstop, and copper stream equity subscription agreement to support its combination with Glencore’s (LON:GLEN) CSA Copper Mine.

On March 20, the SPAC entered into a silver stream subscription agreement with Osisko Bermuda pursuant to which the subscriber has committed to purchase 1.5 million new MAC ordinary shares at $10 per share for $15 million.

Metals and Osisko then entered into a redemptions backstop facility, consisting of a copper purchase agreement, with an upfront deposit of up to $75 million and up to a $25 million equity subscription. This deposit is drawable under the SPAC’s discretion in the event that there is a shortfall of funds required for the business combination.

Additionally, Metals and the subscriber entered into a copper stream subscription agreement to purchase up to 2.5 million new MAC ordinary shares at $10 per share for $25 million. The number of subscribed copper shares purchased by Osisko will be adjusted on a pro-rata basis proportional to the percentage of the available copper deposit drawn down by New MAC under the copper stream.

Each of the subscriptions and the backstop are conditional upon the completion of the Copper Stream, Silver Stream, Senior Facilities, Mezz Facility and the Business Combination.

In addition to this, the SPAC also entered into a silver purchase agreement and a copper purchase agreement, each consisting of a $75 million upfront cash deposit.

These agreements come just a week after Metals secured a $135 million mezzanine facility and $15 million PIPE investment for its business combination with CSA Copper Mine. The parties announced their $1.1 billion deal in March 2022. Glencore’s CSA copper and silver mine is among the Australia’s largest, having exploited about 41,000 metric tons of copper in 2021.


Recent Posts
by Nicholas Alan Clayton on 2023-06-07 at 7:33am

Rice II (NYSE: RONI) announced in an 8-K today that its shareholders have approved its combination with energy technology company NET Power with relatively low redemptions. In the end, 21,195,224 shares were redeemed in connection vote, removing 61% of Rice II’s trust. This is the second best result among the 32 deals that have come...

by Nicholas Alan Clayton on 2023-06-07 at 7:04am

Trajectory Alpha (NYSE:TCOA) announced in an 8-K this morning that it has opted to postpone its June 8 extension vote to June 12 at 10 am ET. The SPAC will use this extra time to engage with shareholders at work to reverse redemption decisions. Trajectory Alpha’s team may still be getting acquainted with some major...

by Kristi Marvin on 2023-06-06 at 5:59pm

Tracking SPACs and all of their various types of “corporate actions” can be challenging. After all, a SPAC can postpone, adjourn, extend, complete, liquidate early, do a tender offer, and in some cases, one SPAC do all of those actions within its lifespan.  Naturally, this can be challenging to manage. More importantly, it can very...

by Marlena Haddad on 2023-06-06 at 11:34am

Below is a daily summary of links to the latest SPAC news and rumors gathered across the web.  Latest SPAC News: Byju skips payment on dollar loan and HNR affirms intent to purchase equity interests of Pogo Resources High-Flying Indian Startup Byju’s Skips Payment on Dollar Loan One of India’s best-known startups has skipped payment...

by Marlena Haddad on 2023-06-06 at 10:15am

Avalon Acquisition Inc. (NASDAQ:AVAC) announced in an 8-K this morning that it has entered into a prepaid forward purchase agreement with RiverNorth SPAC Arbitrage Fund, the purchaser, as it works to close its combination with financial services firm The Beneficient Company, or Ben. As part of the agreement, RiverNorth agreed to effect certain purchases of shares...

Privacy Policy|Terms Of Use
Copyright © 2023 SPACInsider, Inc. All Rights Reserved