- Hudbay Minerals (TSX:HBM) plans to raise US$300.2 million in an equity offering to help fund near-term growth initiatives at its Copper Mountain unit
- The Toronto-based miner signed an agreement with a syndicate of underwriters who will purchase a total of 31.6 million common Hudbay shares at US$9.50 per share on a bought deal basis
- The copper miner intends to use the net proceeds to fund work at the Copper Mountain mine in British Columbia
- Hudbay Minerals Inc. last traded at C$14.15 per share
Hudbay Minerals (TSX:HBM) plans to raise US$300.2 million in an equity offering to help fund near-term growth initiatives at its Copper Mountain unit.
The Toronto-based miner signed an agreement with a syndicate of underwriters led by RBC Capital Markets and BMO Capital Markets as joint bookrunners.
They will purchase a total of 31.6 million common Hudbay shares at US$9.50 per share on a bought deal basis.
The copper miner intends to use the net proceeds to fund near-term growth initiatives, including acceleration of mine pre-stripping activities and mill optimization initiatives at the Copper Mountain mine in British Columbia, to enhance balance sheet flexibility through debt repayments for a sanctioning decision on Copper World in Arizona, to evaluate mill throughput enhancement opportunities at Constancia and New Britannia, among other purposes.
Copper prices have risen steadily in the past year, up nearly 34 per cent to US$4.93 per pound, reaching its highest level this week, driven by concerns of imminent supply shortages.
Hudbay Minerals Inc. is a copper-focused mining company. The company has operations and a pipeline of copper growth projects in tier-one mining-friendly jurisdictions of Canada, Peru and the United States. The company’s operating portfolio includes the Constancia mine in Cusco (Peru), the Snow Lake operations in Manitoba and the Copper Mountain mine in British Columbia.
Hudbay Minerals Inc. last traded at C$14.15 per share and its stock has risen 130.46 per cent since this time last year.
Join the discussion: Find out what everybody’s saying about this stock on the Hudbay Minerals Inc. stock forum, and check out the rest of Stockhouse’s stock forums and message boards.
The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.