CITIC to acquire an additional 10% stake in Ivanhoe Mines for $453m.

Chinese state-run conglomerate CITIC Ltd agreed to invest an additional CAD612m ($454m) in the Canadian miner to speed up production at its projects in Southern Africa. With this deal, CITIC brought its total investment in Ivanhoe to about CAD1.3bn ($966m). Under the deal terms, Ivanhoe will issue 153.8m shares to CITIC at CAD3.98 ($2.98) per share. CITIC Metal currently owns 19.3% stake. After the transaction, the company will own a 29.9% stake. “The investment announced today will comfortably provide Ivanhoe with the equity cushion required to fast-track Kamoa-Kakula’s 6 Mtpa Phase 1 mine to production. More importantly, it also is a profound vote of confidence in our management, in our key stakeholders and partners, and in the promising future of the Democratic Republic of Congo and South Africa,” said Robert Friedland, Executive Co-Chairman of Ivanhoe.