La República Reports on Our Latest Public Tender Offer: “Sun Valley Investments Moves Forward with Tender Offer for 40% of Mineros at COP $4,600 per Share”
“La República” has recently highlighted us in an article. Translation by Sun Valley Investments
Currently, Sun Valley holds 30.85% of the outstanding common shares and aims to increase this figure to 40%.
In a strategic move that could redefine the shareholding control of Mineros S.A., Sun Valley Investments AG has launched a public tender offer (OPA) with the intention of increasing its stake in the mining company.
Currently, Sun Valley holds 30.85% of the outstanding common shares and seeks to raise this to 40%.
The offer is being conducted on the secondary securities market through the Colombian Stock Exchange (BVC). Sun Valley has set a purchase price of COP $4,600 per share, with the option to settle the payment in either Colombian pesos or U.S. dollars. This payment structure aims to attract a broader range of investors, particularly those participating in international markets.
The acceptance period for the offer will be open from February 21 to March 6, 2025, with the possibility of extension for up to 30 business days. During this period, Mineros S.A. shareholders can decide whether to sell their shares to Sun Valley under the established conditions.
For the OPA to be valid, the Swiss company must acquire a minimum of 14,986,870 shares, representing 5% of Mineros S.A.’s capital. If more acceptances are received than expected, the allocation process will be governed by BVC regulations, which could lead to adjustments in the final number of shares acquired.
Sun Valley’s interest in increasing its stake aligns with a consolidation strategy within the mining sector. With greater control over Mineros S.A., the Swiss company could influence the company’s strategic decision-making and enhance its positioning in the international gold market.
For investors, this offer presents a key opportunity. Those seeking immediate liquidity can sell their shares at a pre-established price, while those interested in the company’s long-term growth must evaluate how Sun Valley’s increased stake will impact future corporate decisions.
In fact, analysts predict that the push for a higher stake could signal the possibility of a third OPA.
“If the market values the stock well above the OPA price, some investors may choose not to participate and wait for a potential third OPA at a higher price. On the other hand, some investors may see this offer as an attractive level to take profits. That’s why monitoring the acceptance dynamics will be crucial,” said Jahnisi Cáceres, Equity Analyst at Acciones & Valores.
Financial Security and Guarantee
In terms of financial security, Sun Valley has presented a guarantee covering 25% of the total OPA value, equivalent to approximately COP $31.023 billion. This assures the transaction’s viability and provides confidence to shareholders considering selling their shares.
The outcome of this OPA will be crucial in defining the power structure within Mineros S.A. In the coming months, Sun Valley’s strategic moves could mark a turning point for the mining company, potentially impacting its operations and market valuation.
Financial Results: Mineros Reports Revenues Exceeding COP $2.2 Trillion in 2024, Up 14% from 2023
Mineros has disclosed its 2024 financial results, confirming strong performance in line with forecasts.
The company reported revenues of COP 2.2 trillion in 2024, compared to COP 1.9 trillion in 2023, reflecting a 14.1% increase (COP 272 billion).
After deducting expenses, the mining company achieved a net result exceeding COP 354 billion, marking a 418% increase from 2023, when it posted figures of COP 68.3 billion. Regarding gold production, Mineros sold over 213,200 ounces, representing a 3% decline compared to 2023. However, the gold price surge – up 23% to USD 2,387 per ounce—benefited the company, given that gold is its primary production asset.
Read the original article in Spanish on La República:
Original article by Roberto Casas Lugo published on February 17, 2025, in La República.