Jiangxi Copper Corporation Ltd (JCCI), one of China’s biggest copper producers, has indirectly purchased a stake in Canadian copper mining company First Quantum. The Chinese copper producer announced that it had bought the entire equity of PIM Cupric Holdings Ltd (PCH) for $1.1bn. PCH currently holds an 18.02pc stake in First Quantum and will become JCCI’s holding company for this stake once the acquisition is completed.
The transaction, which is expected to close by the end of this year, will make JCCI the largest stakeholder in the Canada-headquartered international mining company.
First Quantum has nine copper mine development projects across eight countries including Zambia, Panama, and Peru with abundant reserves and a high degree of internationalization in resource development, management, and operations.
Through its acquisition of PCH, JCCI hopes its stake in First Quantum will help both the companies to achieve complementary advantages and development to accelerate their global growth.