Gold mining giant Aura Minerals launches US IPO aiming to raise $210 million
Aura Minerals Inc. plans to raise approximately $210 million through a U.S. listing to expand its investor base. The company is already listed on the Toronto and São Paulo exchanges and submitted a filing to the U.S. Securities and Exchange Commission on Monday for the issuance of 8.1 million shares, with a pricing date of July 15. The funds raised will primarily be used to pay for a $76 million acquisition project. Aura has mining operations in multiple countries, with revenue of approximately $161.8 million and a net loss of $73.2 million for the fiscal year 2023
According to Zhitong Finance APP, Aura Minerals Inc. (AUGO.US) is planning to raise approximately $210 million through a U.S. listing to expand its investor base. The gold-copper miner, which is already listed on the Toronto and São Paulo stock exchanges, disclosed in a filing with the U.S. Securities and Exchange Commission on Monday that it will issue 8.1 million shares. The pricing date for this issuance is set for July 15.
According to the prospectus, the issue price will be determined based on the closing price of the company's shares on the Toronto Stock Exchange on the day before the pricing date. The closing price on Monday indicated that the total value of the issued shares is approximately $210 million.
Aura, headquartered in Cocoa, Florida, has seen its market value double this year, reaching CAD 2.7 billion (approximately $2 billion) on the Toronto exchange, partly due to a strong 41% increase in gold prices during the same period.
The funds raised from the U.S. listing will primarily be used to finance acquisition projects—this June, the company announced the acquisition of Mineração Serra Grande SA (MSG) from AngloGold Ashanti Plc (AU.US), with a cash portion of $76 million. The prospectus shows that MSG is the owner and operator of the Serra Grande gold mine in Brazil.
The filing disclosed that the company's founder, Paulo Carlos de Brito, holds 39.8 million shares of common stock, accounting for approximately 53% of the total equity. Aura currently owns mines in Mexico, Honduras, Colombia, and Brazil. For the fiscal year ending March 31, about two-thirds of its revenue came from gold operations, with the remaining one-third from gold-copper concentrate.
According to compiled data, Aura achieved revenue of $161.8 million in the quarter ending March 31, with a net loss of $73.2 million; in contrast, the same period last year saw revenue of $132.1 million and a net loss of $9.2 million.
This issuance is jointly led by Bank of America and Goldman Sachs, and the company plans to trade under the code "AUGO" on the Nasdaq Global Select Market
