Allens has advised Develop Global Limited on its US$400 million financing arrangement with Trafigura, supporting the next phase of growth for the company’s portfolio.
The transaction comprises a US$350 million loan facility and a US$50 million warrant package, alongside offtake arrangements relating to Develop's Pioneer Dome, Sulphur Springs and Woodlawn projects. Develop has also entered into a binding cooperation agreement with Trafigura, under which the parties will explore future opportunities to work together.
The financing unlocks value across its project portfolio and positioning the business to generate cashflows from three assets spanning copper, zinc, silver and lithium.
'This is a landmark transaction for Develop, combining funding and offtake into a single, integrated solution that supports both development and long-term growth,' said partner Rod Aldus.
The deal reflects a continuing trend of offtake-linked financing involving large traders, as companies look to advance development projects.'
'This was a great opportunity for us to bring our expertise across multiple disciplines to bear to provide a one stop shop for Develop,' said managing associate Alex Ninkov.
'We value the partnership we are building with Develop and thank them for entrusting us with this transaction.'
The Allens team worked closely with Develop across all aspects of the transaction, providing a coordinated, cross-practice approach from its Banking & Finance, Mergers & Acquisitions and Capital Markets teams.
Allens legal team
Finance, Banking & Debt Capital
Rod Aldus (Partner), Tania Joppich (Senior Associate), Christy Taylor (Lawyer), Hannah Morris (Law Graduate)
M&A and Capital Markets (warrants)
David Gray (Partner), Jesse Lines (Senior Associate)
M&A and Capital Markets (offtakes)
Alex Ninkov (Managing Associate), Lennard Bremer (Associate), Georgina Holborn (Lawyer)