Cobalt 27 To Acquire ASX-Listed Highlands Pacific

Cobalt 27 Capital has entered an agreement to acquire ASX-listed Highlands Pacific. The acquisition, valued at $96 million, will increase Cobalt 27’s exposure to nickel through the Ramu nickel-cobalt mine in Papua New Guinea. Highlands Pacific owns an 8.56% interest in the mine, which is majority owned by Metallurgical Corp. of China Ltd.

Cobalt 27 has agreed to pay A10.5¢ in cash per share for Highlands. If nickel prices meet a certain threshold before the end of 2019, an additional A1¢ per share will be paid.

Cobalt 27 and Highlands Pacific have agreed to terminate a US$113-million streaming agreement announced in May 2018.