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Cobre Ltd (ASX:CBE)

ALERT: Price-sensitive ASX Announcement for CBE
Current share price for CBE : $0.265 0.1 (60.61%)+
Announcement
Release
26 Mar 2026 9:14AM
Price at Release
$0.165
Full Release
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Summary
Cobre Limited has entered into definitive agreements to secure a pathway to full ownership of MSB's interests in the Sierra Atacama Copper Project in Chile. This involves Cobre Chile acquiring up to a 56% interest through staged equity subscriptions, starting with an initial 25% subscription, followed by another to reach 45%, totaling US$28 million. There is also a call option to increase to 56% for an additional US$10 million by the end of 2026. The agreements include provisions for further consolidation beyond 56%, potentially leading to full ownership, with Cobre Chile managing operations and having board representation. The structure includes pro-rata funding mechanics and FMV-based dilution provisions, and requires regulatory approvals for completion.
Key Points
  • Cobre Limited has executed definitive agreements to secure a pathway to full ownership of MSB's interests in Sierra Atacama Copper Project.
  • Cobre Chile, a wholly owned subsidiary of Cobre Limited, will acquire up to a 56% interest in the project through staged equity subscriptions.
  • An initial subscription for 25% interest, followed by a subsequent subscription to increase to 45% with a total consideration of US$28 million is planned.
  • Cobre Chile holds a call option to further increase its interest to 56% for an additional US$10 million, exercisable until December 31, 2026.
  • The agreements include mechanics for potential further ownership consolidation beyond 56%, allowing for full ownership.
  • Cobre Chile will manage the project and have board representation with a casting vote.
  • Pro-rata funding mechanics and FMV-based dilution provisions are included to facilitate increased interest.
  • The transaction includes alignment of equity and debt positions through the acquisition of related-party creditor interests at nominal costs.
  • The completion of the initial subscription is subject to customary conditions precedent, including regulatory approvals.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.