Somincor Secured in $1.3B Deal as Lundin Mining Exits
Deal News | Dec 13, 2024 | Iberian Lawyer
In a significant transaction, Morais Leitão and Uría Menéndez have provided legal counsel in the sale of the entire share capital of Sociedade Mineira de Neves-Corvo (Somincor), owned by Lundin Mining, to Boliden, a Swedish company. This $1.3 billion transaction includes not only the Neves-Corvo mine, Portugal's largest, but also the company operating the Zinkgruvan mine in Sweden. Morais Leitão represented the seller, while Uría Menéndez acted for the buyer, Boliden. The deal is subject to standard conditions for conclusions of this magnitude, with potential contingent payments up to $150 million. Teams from both law firms featured several partners and associates specializing in relevant legal areas, managing this complex cross-border acquisition with expertise.
Sectors
- Mining
- Legal Services
Geography
- Portugal – The Neves-Corvo mine, a significant component of the sale, is located in Portugal.
- Sweden – The acquiring company, Boliden, is based in Sweden, and the transaction also involves the Swedish Zinkgruvan mine.
Industry
- Mining – The transaction involves the acquisition of mining operations, specifically the Neves-Corvo mine in Portugal and the Zinkgruvan mine in Sweden.
- Legal Services – Legal advisory firms Morais Leitão and Uría Menéndez played crucial roles in facilitating the transaction between Lundin Mining and Boliden.
Financials
- 1,300,000,000 – The total purchase consideration for the transaction, including the sale of the Somincor and Zinkgruvan mines.
- 150,000,000 – Potential contingent payments in addition to the initial $1.3 billion.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Somincor | Target | Company | Somincor operates the Neves-Corvo mine and was sold in the transaction. |
| Lundin Mining | Vendor | Company | The Canadian-based company selling its entire stake in Somincor. |
| Boliden | Buyer | Company | Swedish company acquiring Somincor and the Zinkgruvan mine operations. |
| Morais Leitão | Legal Advisor to Seller | Company | Portuguese law firm advising Lundin Mining on the transaction. |
| Uría Menéndez | Legal Advisor to Buyer | Company | Law firm advising Boliden in the acquisition of Somincor. |