Johannesburg: Naguib Sawiris, one of Egypt’s richest men, will become the biggest investor in Endeavour Mining Corp, a Toronto-listed gold producer with assets in four West African countries, as he expands his interests in the region.
Sawiris, through his investment company La Mancha, will acquire 30 per cent of Endeavour, the companies said in a statement Monday. La Mancha will pay for the shareholding with its 55 per cent stake in Ity gold mine in Ivory Coast, a $63 million cash injection into the operation and investing a further $75 million into Endeavour.
The deal “secures a committed cornerstone investor, who’s firmly aligned with our existing investors,” Endeavour Chief Executive Officer Neil Woodyer said on a call with reporters. Sawiris “shares the vision and strategy we have together to build a leading West African and African-focused gold producer.”
Sawiris has a net worth of $3 billion, according to the Bloomberg Billionaires Index. He acquired La Mancha in 2012 and subsequently bought a stake in Ity mine from the Ivory Coast government.
Endeavour’s net debt will fall to $160 million from $240 million as a result of the transaction and production will increase 16 per cent to 580,000 ounces, Woodyer said.
