TASEKO
ANNOUNCES PRICING OF SENIOR SECURED NOTES
OFFERING
VANCOUVER, BC, April 10, 2024
-- Taseko
Mines Limited (TSX: TKO) (NYSE American: TGB) (LSE: TKO) ("Taseko")
today announced that it has priced an offering of US$500 million aggregate principal amount of
Senior Secured Notes due 2030 (the "Notes"). Interest on the Notes
will accrue at an annual rate of 8.25% payable semi-annually, and
the Notes will be issued at par. The offering is expected to close
on April 23, 2024, subject to
customary closing conditions.
Taseko
intends to use the net proceeds from this offering, together with
cash on hand, to redeem all US$400
million aggregate principal amount outstanding of its Senior
Secured Notes due 2026 (the "Existing Notes") (including accrued
interest), to make capital expenditures, including at its Florence
Copper project and Gibraltar mine,
as working capital and the remainder, if any, for general corporate
purposes and to pay fees and expenses in connection with this
offering.
The Notes
will be secured by junior priority liens on the shares of Taseko's
wholly-owned subsidiaries, Gibraltar Mines Ltd. ("Gibraltar"), Curis Holdings (Canada) Ltd. ("Curis"), Florence Holdings Inc.
("Florence Holdings"), and Cariboo Copper Corp. ("Cariboo") and by
Gibraltar's rights under the joint
venture agreement relating to the Gibraltar mine. The Notes will also be
guaranteed by certain restricted subsidiaries including
Gibraltar, Curis, Florence
Holdings, Cariboo, Florence Copper Holdings Inc., FC-ISR Holdings
Inc., and Florence Copper LLC ("Florence"). Upon admission of a
minority joint venture partner for the Florence Copper project
under certain conditions, the guarantee of the bonds by Florence
would be released.
The Notes
will not be registered under the U.S. Securities Act of 1933, as
amended (the "Securities Act"), or the securities laws of any other
jurisdiction. The Notes will not be qualified by a prospectus in
Canada. Unless they are registered
or qualified by a prospectus, the Notes may be offered and sold,
only in transactions that are exempt from registration requirements
and from prospectus qualification under Canadian securities laws.
In the United States, the Notes
will be offered and sold, only to persons reasonably believed to be
"qualified institutional buyers" (as defined in Rule 144A under the
Securities Act) and outside the United
States, to non-U.S. persons in compliance with Regulation S
under the Securities Act.
This press
release is neither an offer to sell nor the solicitation of an
offer to buy the Notes, the Existing Notes or any other securities
and shall not constitute an offer to sell or solicitation of an
offer to buy, or a sale of, the Notes, the Existing Notes or any
other securities in any jurisdiction in which such offer,
solicitation or sale is unlawful. This press release does not
constitute a notice of redemption with respect to the Existing
Notes.
Stuart McDonald
President
and CEO
No
regulatory authority has approved or disapproved of the information
contained in this news release.
Caution
Regarding Forward-Looking Information
This
document contains forward-looking statements and forward-looking
information (collectively referred to as "forward-looking
statements"), within the meaning of applicable Canadian securities
legislation and the United States Private Securities Litigation
Reform Act of 1995, Section 27A of the Securities Act and 21E of
the U.S. Securities Exchange Act of 1934, as amended, which may not
be based on historical fact, including without limitation
statements regarding Taseko's expectations in respect of the
completion of the Note offering and the redemption of the Existing
Notes, the future financial position, business strategy, future
production, reserve potential, exploration drilling, exploitation
activities, events or developments that Taseko expects to take
place in the future, projected costs and plans and objectives.
Often, but not always, forward-looking statements can be identified
by the use of the words "believes," "may," "plan," "will,"
"estimate," "scheduled," "continue," "anticipates," "intends,"
"expects," "aim" and similar expressions.
Such
statements reflect Taseko's current views with respect to future
events and are subject to risks and uncertainties. These statements
are necessarily based upon a number of estimates and assumptions
that are inherently subject to significant business, economic,
competitive, political and social uncertainties and contingencies,
including the completion of the Note offering and the redemption of
the Existing Notes. Many factors could cause Taseko's actual
results, performance or achievements to be materially different
from any future results, performance, or achievements that may be
expressed or implied by such forward-looking statements, including
those contained in Taseko's filings as well as the ability to
complete the Note offering and the redemption of the Existing
Notes. For general information on Taseko, review the documents that
Taseko has filed with or furnished to the United States Securities
and Exchange Commission www.sec.gov and home jurisdiction filings
that are available at www.sedarplus.ca.
For
general information on Taseko, see the Company's website at
www.tasekomines.com or contact: Brian Bergot,
Vice President, Investor Relations - 778-373-4533.