Copper and gold miner Freeport-McMoRan Inc. (NYSE: FCX) announced Monday morning that it had agreed to sell a 13% ownership stake in its Morenci mine for $1 billion to its joint-venture partner in the Arizona mine, Japan-based Sumitomo. The transaction is expected to close in mid-2016. subject to regulatory approval and other customary closing conditions.
Freeport expects to use the proceeds to repay borrowings under its bank term loan and its revolving credit facility. The company also expects to record a gain of $550 million on the transaction and to use losses to offset cash taxes on the sale.
Read more: Freeport-McMoRan Raises $1 Billion on Asset Sale (NYSE: FCX) - 24/7 Wall St. 247wallst.com/commod...llion-on-asset-sale/
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Freeport expects to use the proceeds to repay borrowings under its bank term loan and its revolving credit facility. The company also expects to record a gain of $550 million on the transaction and to use losses to offset cash taxes on the sale.
Read more: Freeport-McMoRan Raises $1 Billion on Asset Sale (NYSE: FCX) - 24/7 Wall St. 247wallst.com/commod...llion-on-asset-sale/
Follow us: @247wallst on Twitter | 247wallst on Facebook