By Adria Calatayud

 

Glencore PLC said Tuesday that one of its subsidiaries has agreed to sell an underlying 73% stake in Mopani Copper Mines PLC to ZCCM Investments Holding PLC for $1 and the assumption of debts of $1.5 billion.

The Anglo-Swiss commodities company said its 81.2%-owned subsidiary Carlisa Investments Corp. has signed a contract to sell its 90% interest in Mopani to ZCCM, which owns the remaining 10% interest in Mopani.

Mopani, which houses a copper mine in Zambia, has been funded by borrowings from Carlisa and other members of the Glencore group, the Anglo-Swiss company said. On completion of the deal, $1.5 billion of debt will remain owed by Mopani to Glencore group creditors, Glencore said.

Glencore said it will also retain offtake rights in respect of Mopani's copper production until the transaction debt has been fully repaid.

London-listed shares in Glencore at 0821 GMT were up 1.4% at 280.60 pence.

 

Write to Adria Calatayud at adria.calatayud@dowjones.com

 

(END) Dow Jones Newswires

January 19, 2021 03:43 ET (08:43 GMT)

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