Eramet’s capital increase will make France its largest shareholder
Eramet has agreed how the French state and Sorame-CEIR will participate in its planned 500 million euro capital increase. The state will subscribe for its own entitlement and acquire rights from its fellow shareholder. The mining group aims to strengthen its finances, with the transaction planned for the final quarter of 2026.
Economics & Markets··Morning
France will take the largest stake
Eramet, the French mining group, agreed on October 12 how its major shareholders will participate in a planned 500 million euro capital increase. The French state will take up its entitlement and acquire subscription rights from the Duval family holding company. The arrangement will make the state Eramet’s largest shareholder.[1], [2]
The capital increase was first announced in February and is planned for the final quarter of the year. Eramet says the financing will strengthen equity, restore its financial position and meet obligations in its bank agreements.[1]
Subscription rights will change hands
APE, the agency managing French state shareholdings, currently owns 27.1 per cent of Eramet. It will acquire all or part of Sorame-CEIR’s subscription rights, with a reference price determining the transfer. Subscription rights allow existing shareholders to participate in the issue of new shares.[1]
If APE does not buy all the rights, Sorame-CEIR will exercise the remainder. The resulting shares would carry a put option for Sorame-CEIR and a call option for APE, giving the two parties rights to sell and buy under the arrangement.[1]
Voting rights have a defined ceiling
The arrangement is designed to keep the state’s effective voting rights at general meetings at or below 49 per cent. That calculation uses average attendance at the last three meetings. Sorame-CEIR will become the second-largest shareholder, while other shareholders retain their rights to subscribe or sell their entitlements.[1]
Eramet is also pursuing its ReSolution performance programme and asset monetisation as part of the wider financing plan. The October agreement sets out shareholder participation ahead of the proposed fundraising.[1]
