PE Deals

AMED Funds’ portfolio company acquires Canada Flurospar

Canada Fluorspar is the parent company of the Canada Fluorspar mine in St. Lawrence, Newfoundland and Labrador.

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  • The purchase price was C$25 million
  • The Newfoundland and Labrador government will receive close to C$4 million from the sale
  • The Canada Fluorspar mine produces acidspar grade Fluorspar, which is a key material used in the production process of lithium batteries, solar panels and steel

AMED Funds, via a portfolio company of AMED Fund IV, has acquired Canada Fluorspar, the parent company of the Canada Fluorspar mine in St. Lawrence, Newfoundland and Labrador.

On June 6, 2023, the Supreme Court of Newfoundland and Labrador approved the sale of Canada Fluorspar to the buyer, a private company registered in Singapore, for C$25 million, according to a statement issued by the Newfoundland and Labrador government.

The provincial government will receive close to C$4 million from the sale, which will repay a loan of C$3.25 million, plus interest, that it provided to Canada Fluorspar to sustain its operations.

The provincial government agreed with the buyer to provide up to, but not more than, C$3.785 million toward the costs associated with a water treatment management plan at the site to assist with the restart of the mine.

“We are very pleased to have successfully completed the purchase of Canada Fluorspar,” said Rudolph de Bruin, a sponsoring partner of AMED, in a statement. “The Canada Fluorspar mine in St. Lawrence is an important economic driver in the province and had been providing many jobs and significant revenue locally before it was shut down. The mine produces acidspar grade Fluorspar, which is a key material used in the production process of lithium batteries, solar panels and steel. These are products that society is heavily reliant on, and that reliance is only projected to increase. AMED is looking forward to re-opening the mine and establishing its business operations with its eyes set on sustainable long-term profitability and a net positive benefit to the region and the local community in the short and long term.”

AMED Funds is a mining and exploration-focused private equity firm with headquarters in Luxembourg. The firm has more than $1.4 billion in assets under management.