From Seekingalpha · Sidharth Kumar · · 40s
Nexa Resources NAV Fair But Boliden Deal Caps Upside
Nexa Resources trades below fair value but Boliden's acquisition caps upside for investors.
In brief
Nexa Resources trades below fair value but Boliden's acquisition caps upside for investors. Nexa Resources shares trade at $12.65, 2% below implied tender value, with upside capped by Boliden's 64.68% stake acquisition. Originally reported by Seekingalpha.
Nexa Resources
Nexa Resources is one of the world's five largest zinc producers.
Boliden Acquisition
Boliden agreed to acquire 64.68% of Nexa Resources at a fixed 0.25 share ratio.
Current Share Price
Nexa trades at $12.65, 2% below implied tender value with upside capped by Boliden's acquisition terms.
Standalone NAV
Standalone NAV is $14.25/share on consensus, but the takeover removes open-ended re-rating potential.
What to remember
Nexa Resources shares trade at $12.65, 2% below implied tender value, with upside capped by Boliden's 64.68% stake acquisition.
