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Highlights

  • Focus Minerals to sell Laverton Gold Project to Genesis Minerals for AU$250 million in cash.

  • The deal contains no conditions precedent, with completion expected in early June 2025.

  • FML share price surged 150% to 57 cents following the announcement.

Focus Minerals Limited (ASX:FML) announced on Monday it has entered into a binding agreement to sell its wholly owned subsidiary Focus Minerals (Laverton) Pty Ltd, the holder of the Laverton Gold Project, to Genesis Minerals Limited (ASX:GMD) for an upfront cash consideration of AU$250 million.

The deal, formalised through a Share Purchase Agreement (SPA), is described by Focus as a strategic decision aimed at delivering immediate value to shareholders amid favourable gold market conditions. The agreement is unconditional and includes customary warranties and indemnities, with no conditions precedent, allowing for swift completion targeted in early June 2025.

Focus Minerals’ Executive Chairman Wanghong Yang hailed the transaction as a significant milestone:

“We are extremely pleased with the outcome achieved in the sale of Laverton and believe the consideration payable represents compelling value to our shareholders.”

Yang added that proceeds from the transaction will bolster the company’s financial position and support the continued development of its other key assets, including the Bonnie Vale Underground Mine and Coolgardie Gold Project, where both underground and open pit operations are underway.

The announcement triggered a sharp market reaction, with Focus Minerals’ shares surging 150% to 57 cents in early trading on Monday.

Azure Capital acted as the financial adviser, while HFW provided legal counsel for the transaction.

The Laverton project, located in Western Australia, holds a mineral resource of four million ounces and is seen as a strategic acquisition for Genesis Minerals, which plans to integrate the asset with its existing Laverton mill, located just 30 kilometres away. The acquisition forms part of Genesis' broader “ASPIRE 400” growth strategy, aimed at expanding its gold production capacity through resource consolidation and infrastructure optimisation.