Highlights
- Central Asia Metals expands presence with a strategic stake in New World Resources
- New share valuation implies a significant premium for New World investors
- Acquisition strengthens Central Asia Metals’ resource footprint across continents
In a strategic move that underscores its global ambition, Central Asia Metals (LSE:CAML) has significantly increased its ownership in New World Resources (ASX:NWC), now holding approximately 12.1% of its issued capital. This follows the conclusion of a substantial after-market share acquisition program.
The transaction saw Central Asia Metals acquire 253.02 million shares at a rate of AUD 0.062 per share, translating to 7.1% of New World’s issued capital as of the market close on 26 June. The agreement later evolved with an enhanced scheme of consideration, where the share value was lifted from AUD 0.055 to AUD 0.062. This revised valuation boosts New World’s implied equity value to approximately AUD 230 million.
This improved offer represents a remarkable 121.4% premium over New World’s closing price of AUD 0.028 on the announcement day and a 142.7% premium over its 30-day volume weighted average price (VWAP) as of 20 May. The premium highlights the strategic value seen by Central Asia Metals in New World’s North American resource portfolio.
Both companies are now progressing with separate deeds of variation to the existing scheme implementation deed, with updates to be formally announced upon finalisation. Additionally, New World Resources is set to launch an off-market takeover bid, operating in tandem with the increased holdings acquisition.
Central Asia Metals continues to reinforce its commitment to the sustainable production of essential base metals, with a focus on copper, zinc, and lead. Its current operations span Kazakhstan and North Macedonia, making this Australian expansion a natural progression in its diversified global strategy.
On the other hand, New World Resources brings valuable exploration potential to the table. With a focus on mineral resource projects in North America, the company is well-positioned to contribute to the broader energy transition and resource independence narratives.
While New World Resources (ASX:NWC) is not part of the ASX 200 index, investors monitoring the broader Australian market trends can explore more insights on companies within the ASX 200 benchmark to evaluate market positioning and dynamics.
This cross-border investment not only highlights the increasing appetite for quality exploration assets but also signals growing strategic alignment between resource players across continents. The collaboration promises to unlock new value in the evolving global metals supply chain.