By Divya Rajagopal
TORONTO (Reuters) – Shares in First Quantum Minerals fell on Tuesday after unveiling a restructuring plan, including a dividend cut, as the Canadian miner copes with the big blow in Panama where it was forced to suspend one of its key mines.
Late on Monday, the company announced its restructuring plans that included suspension of dividend, guidance to save $450 million in 2024, refinancing of its existing debts and job cuts. The company also said it is exploring sale of smaller mines and bring strategic equity partners for its large mines.
First Quantum shares were down 2% at C$13.13 in early morning trade, while benchmark Canadian share index was down 0.4%. The copper-gold miner has lost over 40% of its market cap after its flagship mine in Panama was forced to shutdown following public protests.
Since the closure of Cobre Panama mine in December, which accounted for about 40% of its revenue, the company has been looking at ways to shore up its finances.
Reuters reported this month that First Quantum is in talks with it biggest shareholder Jiangxi Copper Co about selling stakes in its Zambian mines.
(Reporting by Divya Rajagopal; Editing by Marguerita Choy)
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