Swedish miner gains Brazilian and Peruvian zinc, silver output
Swedish miner Boliden agreed to buy a majority stake in Nexa Resources from Votorantim for around $1.31 billion, the Stockholm-based company announced Thursday. The transaction gives Boliden control of a New York Stock Exchange-listed miner that accounts for roughly 4% of global zinc production and operates mines and smelters in Brazil and Peru.
Boliden Chief Executive Mikael Staffas said the deal would “In addition to positioning Boliden as one of the leading zinc providers in the world, the transaction will reinforce our standing as a globally important base metal producer and bring a healthy addition to our precious metal business with a large increase to our output of silver in concentrate.”
The deal follows discussions that were disclosed earlier this year. Under the terms, Boliden will acquire Votorantim’s near 65% stake in Nexa. As payment, Votorantim will receive 21.4 million newly issued Boliden shares, corresponding to around 7% of the shares and votes in the Swedish company, and Votorantim will also receive representation on the Boliden board.
The transaction implies a consideration to Votorantim of $15.29 per Nexa share — a 27% premium to Nexa’s closing share price of $12.04 on the day before initial talks were disclosed. Boliden said the deal implies a total equity value for Nexa of around $2.03 billion.
Nexa’s footprint centers on South America. The company owns and operates two underground mines and an open-pit mine in Peru, two underground mines in Brazil, along with two zinc smelters in Brazil and one in Peru. Beyond zinc, Nexa produces silver, copper, lead and gold.
Closing is expected during the first quarter of 2027, subject to shareholder and regulatory approvals. Once the deal closes, Boliden will make a cash offer for the remaining Nexa shares.
Boliden and Nexa had combined revenue of around 136 billion Swedish kronor ($14.27 billion) in the 12 months ending June 30, with earnings before interest, tax, depreciation and amortization of 38 billion kronor. Boliden said its dividend policy and financial targets remain unchanged following the deal.