Aclara Resources Announces Successful Equity Transaction and Strategic Advancements

TORONTO, ON / ACCESSWIRE / April 17, 2024 / Aclara Resources Inc. has confirmed the successful conclusion of an important transaction with CAP S.A., securing a 20% equity stake in its Chilean subsidiary REE Uno SpA for US$29.1 million. This initial transaction includes a significant cash payment of US$9.7 million to Aclara. REE Uno SpA owns the Penco Module project, which is critical to Aclara's expandable mining concessions in Chile.

The agreement, established on March 13, 2024, outlines payments in three stages, with the subsequent payments scheduled for January 2025 and 2026, valuing REE Uno at a pre-money valuation of US$116.5 million. Additionally, CAP has the option to invest an extra US$50 million for a further 20% interest in REE Uno after obtaining an environmental permit for the project.

Apart from the financial investments, both companies will form a joint venture to develop metals and alloys catering to the rare earths permanent magnet industry. Aclara will balance CAP's investment by also injecting US$3 million into this joint venture, creating a 50/50 ownership structure.

This series of agreements with CAP not only provides immediate financial benefits but also strategically aligns Aclara with an experienced veteran in environmental permitting and mining operations in Chile, expectedly bolstering its project management capability.