Copper Mountain receives bondholder approval for sale of Eva Copper project

Copper Mountain Mining (CPPMF) announces that it has received bondholder approval under its US$250 million senior secured bonds for the previously announced sale of its wholly-owned Eva Copper Project and its 2,100km2 exploration land package in Queensland, Australia to Harmony Gold Mining (HMY). The receipt of Bondholder Approval is a condition to the closing of the Transaction. The closing of the Transaction remains subject to certain customary conditions, including Harmony obtaining written correspondence from the Foreign Investment Review Board in Australia that the Australian Government has no objections under the Foreign Acquisitions and Takeovers Act 1975. The Transaction is expected to close no later than the first quarter of 2023. Summary of Bond Buyback Offer: In connection with obtaining the Bondholder Approval, the Company has agreed, within 30 days after completion of the Transaction, to: Pay a one-time amendment fee of 0.25% of the nominal amount of the outstanding Bonds, on a pro rata basis, to the bondholders; and Make an offer to buyback Bonds for an aggregate minimum principal amount of US$87,000,000 at an offered price of 103.00 per cent of the nominal amount of the Bonds. The Buyback Offer will be funded by a portion of the aggregate net cash proceeds CMMC expects to receive from the gross US$170,000,000 cash consideration payable by Harmony on completion of the Transaction.