ASX:RAU
Resouro Strategic Metals CDI
Investment Summary
The fund managers believe that Resouro Strategic Metals represents a compelling investment opportunity due to its emerging status in the rare earths sector. In their opinion, the company’s Tiros project in Brazil offers a large-scale, high-grade rare earths and titanium mineral potential. They highlight the experience of CEO Chris Eager, noting his background in mining development, particularly his role in the successful sale of Monterrico Metals for US$200m. The recent IPO, which raised $8m and achieved a $44m enterprise value when diluted, adds further confidence. The fund managers are optimistic about the company’s near-term plans, anticipating key developments such as the maiden resource and metallurgical test work, essential for de-risking the project.
Commentary From The Managers
Endeavor Asset Management
30 June 2024
$0.52
- Endeavor Asset Management participated in the IPO of Resouro Strategic Metals (RAU), an emerging rare earths company.
- The company’s Tiros project in Brazil presents a significant opportunity in high-grade rare earths and titanium minerals.
- CEO Chris Eager has extensive experience, having co-founded Monterrico Metals, which sold for US$200m.
- The IPO successfully raised $8m, resulting in a $44m enterprise value fully diluted.
- Endeavor looks forward to near-term de-risking of the project, including the maiden resource and metallurgical test work.
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