MVV Achieves Successful Exit with Sale to Baiyin for $420M
Deal News | Apr 02, 2025 | Appian Capital Advisory
Appian Capital Advisory has successfully completed the sale of MVV to Baiyin Nonferrous for $420 million, marking Appian’s 13th successful exit. Appian acquired MVV, a copper-gold open pit operation, from Aura Minerals in 2018. Since its acquisition, Appian transformed the operation by revising the feasibility study, reducing CAPEX, and implementing efficient management practices. MVV began production in May 2021 and achieved stable operations with strong financial results. The asset delivered an EBITDA of $83.9 million from $184.4 million of revenue in 2024. Standard Chartered and Citigroup served as financial advisors, while Norton Rose Fulbright acted as legal advisor for the transaction. This transaction reiterates the effectiveness of Appian's strategy in the mining industry, optimized through their technical expertise.
Sectors
- Mining and Metals
- Private Equity
Geography
- Brazil – MVV is located in Alagoas, Brazil, making it the geographical focus for the operation of the copper-gold mine.
- China – Baiyin Nonferrous, the buyer, is based in China, thus relevant in the transaction.
Industry
- Mining and Metals – The article primarily revolves around the sale of a mining entity, MVV, dealing with metals, making this the relevant industry.
- Private Equity – Appian Capital Advisory, a private equity firm, orchestrated the transaction, highlighting PE's role in mining investments and optimization.
Financials
- 420,000,000 – The total cash consideration for the sale of MVV from Appian to Baiyin Nonferrous.
- 184,400,000 – MVV's revenue in 2024.
- 83,900,000 – MVV's EBITDA from 2024 operations.
- 1.74 – The average C1 cash cost per lb of copper produced in 2024.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Appian Capital Advisory LLP | Seller | Company | An investment advisor to private capital funds, focusing on undervalued mining and metals companies. |
| Minerao Vale Verde (MVV) | Target company | Company | A copper-gold open-pit mining operation based in Alagoas, Brazil. |
| Baiyin Nonferrous Group Co., Ltd | Buyer | Company | A Chinese company that purchased MVV from Appian for $420 million. |
| Standard Chartered | Financial Advisor | Company | Provided financial advisory services to Appian for the transaction. |
| Citigroup | Financial Advisor | Company | Assisted Appian with financial advice for the sale of MVV. |
| Norton Rose Fulbright | Legal Advisor | Company | Acted as the legal advisor to Appian for the transaction. |