EU and US could reach trade deal this weekend - Reuters
Investing.com -- U.S. businessman James Cameron has proposed a $5 billion deal to take over mining behemoth Eurasian Resources Group (ERG), as indicated in a letter he sent to the company’s board, as reported by Reuters on Monday. This move comes as ERG is gearing up to play a significant role in the expansion of Kazakhstan’s rare earths production.
A Reuters insider with close ties to ERG revealed that discussions between Cameron and the company have been ongoing since the end of the previous year. The letter also disclosed that Goldman Sachs is in the early stages of discussions to provide advisory services on the transaction.
Cameron’s letter to the ERG board detailed the financing plan for the deal. He intends to use a combination of his personal funds and equity contributions from other investors based in the United States. There is also a possibility of contributions from investors in Australia and the Middle East.
The interest in ERG from the investor is partially due to Kazakhstan’s potential in the field of critical minerals exploration and mining. The country has plans to increase its output of rare and rare earth metals by 40% by 2028. ERG is expected to play a significant role in this initiative, another source close to the transaction revealed.
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