Navoi Mining & Metallurgical Co., a leading gold producer, may list on the London Stock Exchange this year, potentially worth £4 billion. Rothschild & Co. advises on the IPO, which seeks to enhance privatization efforts in Uzbekistan and bolster London’s faltering IPO market. NMMC significantly contributes to the national economy through gold production and employment.
Navoi Mining & Metallurgical Co. (NMMC), among the largest gold producers globally, is advancing preparations for a potential initial public offering (IPO) in London this year. This listing could value the state-backed Uzbek miner at approximately £4 billion ($5.2 billion). Rothschild & Co. serves as the IPO advisor, and the offering could occur in the latter half of the year. NMMC raised $1 billion through bonds listed on the London Stock Exchange last year, with banks like Citigroup Inc. and JPMorgan Chase & Co. well-positioned for similar roles in this upcoming IPO.
Currently, discussions regarding the IPO remain preliminary, and details are subject to change or delays. Representatives from NMMC, Citigroup, and JPMorgan have refrained from commenting on the matter, while Rothschild has not responded to inquiries. The planned IPO aligns with Uzbekistan’s broader strategy to privatize many state assets and presents a significant opportunity to revitalize London’s IPO market, which has only garnered about $76 million in funds this year.
Historically, the UK has attracted mining firms looking for public investors; however, persistent low valuations have led some, such as commodities giant Glencore Plc, to reassess their London listings. NMMC operates the expansive Muruntau mine, recognized globally as one of the largest open-pit gold mines, and has produced an impressive 2.9 million ounces of gold in 2023. With a mineral resource base totaling 148 million ounces, NMMC significantly contributes to Uzbekistan’s economy, accounting for nearly one-fifth of the nation’s state budget revenue. The company employs over 47,000 individuals across 12 major mining sites and nine processing facilities.
In conclusion, Navoi Mining & Metallurgical Co. is preparing for a substantial IPO in London, aiming for a valuation exceeding £4 billion. This move supports Uzbekistan’s privatization efforts and may rejuvenate the struggling UK IPO market. As discussions progress, the mining giant remains integral to Uzbekistan’s economy, reflecting its significance in gold production and employment.
Original Source: www.mining.com
