Metals Acquisition Corp. (MAC) is poised to list on the ASX after it appointed joint lead managers to support the move.
Barrenjoey Markets and Canaccord Genuity will work with MAC on the listing, which is designed to support the company’s recent purchase of Glencore’s CSA copper mine in New South Wales.
“Given the location of the CSA mine in western NSW and the lack of ASX-listed companies with domestic copper exposure, we think that listing MAC on the ASX is logical and provides MAC with access to an additional source of capital in the future,” MAC chief executive officer Mick McMullen said.
“Barrenjoey and Canaccord are two of the leading equity capital markets franchises in Australia, successfully raising capital for clients in the metals and mining space, including companies focused on commodities essential to the energy transition.”
McMullen said increasing merger and acquisition activity suggested there was a growing appetite for domestic copper producers in Australia.
“The few listed Australian copper names are trading at stronger multiples than North American peers, reflective of the significant premium attributed to operating in a Tier-1 jurisdiction, and also the significant pool of mining-focused capital in Australia,” he said.
Listed on the New York Stock Exchange, MAC is focused on metals essential to the renewable energy transition, while targeting mining businesses in “high-quality, stable jurisdictions”.
MAC said the ASX listing would occur following the completion of its CSA mine acquisition, with the timing and quantum of any associated capital raise to be market-dependent.
But the company said it could not provide certainty as to when or if the ASX listing would occur.
MAC entered into a definitive sale and purchase agreement with Glencore to acquire CSA in March, for a total consideration of $US1.1 billion ($1.7 billion).