Atalaya Mining acquires Tharsis to create Spanish copper giant

✦ Meridian Analysis

Atalaya Mining has signed a €125 million acquisition of Tharsis Mining from the López Magdaleno family, owners of the technology group Magtel. The purchase price is structured with an initial €75 million cash payment and a further €50 million to be paid over the next twelve months. The deal brings Tharsis’s copper deposits at Tharsis and La Zarza – estimated at 1.5 million tonnes – under Atalaya’s control, adding to its existing Riotinto operation and a project in Galicia (Touro). Atalaya is financing the transaction with liquidity generated by a recent €150 million capital increase on the London Stock Exchange; no external lenders or financing packages were disclosed. What remains undisclosed includes the valuation multiple applied to Tharsis, the identity of any financial advisers, and whether any regulatory clearances are pending. Observers will also watch the timetable for the required investment to restart production at the newly acquired sites and any subsequent financing that may be arranged to fund that work.

The Meridian Weekly