Key Takeaways

• MAC Copper shares soared Tuesday after the copper miner agreed to be purchased by Harmony Gold for $1.03 billion.

• MAC Copper shareholders will receive $12.25 for every share they own, a 20.7% premium from MAC Copper's closing price on Friday.

• The deal gives Harmony the CSA Copper Mine in Australia, which produced approximately 41 kilotons of copper last year.

Shares of MAC Copper (MTAL) soared Tuesday after the copper miner agreed to be purchased by Harmony Gold Mining Company (HMY) for $1.03 billion, in a move that boosts Harmony’s reach into the copper market.

MAC Copper said the deal will pay investors $12.25 for every share they own, a 20.7% premium to the stock's closing price on Friday. Shareholders will also have the option to be paid in Australian dollars, which the companies said "will be calculated with reference to the applicable exchange rate published on the website of the Reserve Bank of Australia on the Effective Date.”

The agreement gives Harmony MAC Copper's sole asset, the CSA Copper Mine in Australia, which CEO Beyers Nel said “is significant as it introduces a high-quality, established underground producing copper asset to the Harmony portfolio.” He added that CSA produced about 41 kilotons of copper in 2024, and “meets Harmony’s core investment criteria, including increasing free cash flow generation while improving margins at long-term expected commodity prices.”

MAC Copper plans to hold a shareholder meeting to vote on the proposal in the fourth quarter. For the acquisition to be completed, approval by at least 75% of the voting shares is necessary, and various regulatory requirements must be met.

MAC Copper shares were up over 22% in recent trading, while Harmony Gold dropped about 9%.

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