TORONTO - Hudbay Minerals Inc. (TSX, NYSE:HBM) completed its acquisition of Arizona Sonoran Copper Company Inc. today through a court-approved plan of arrangement, according to a press release statement.
Under the transaction terms, former Arizona Sonoran shareholders received 0.242 of a Hudbay common share for each Arizona Sonoran share held. Arizona Sonoran is now a wholly-owned subsidiary of Hudbay. The acquisition strengthens Hudbay’s market position, with the company currently valued at $10.07 billion and shares delivering a 160% return over the past year.
The acquisition adds the Cactus copper project in Arizona to Hudbay’s portfolio. The company stated the combined Copper World and Cactus projects would form what it describes as the third largest copper district in North America based on permitted projects with production greater than 75,000 tonnes per year.
Hudbay outlined plans to scale annual copper production from approximately 125,000 tonnes currently to more than 250,000 tonnes by 2030 with Copper World and other optimization projects, and subsequently to more than 350,000 tonnes with staged development of Cactus. The expansion aligns with the company’s projected 34% revenue growth for fiscal 2026, while InvestingPro assigns Hudbay a "GREAT" financial health score of 3.41 out of 5. According to InvestingPro analysis, the stock currently trades near its Fair Value, with analysts maintaining a positive outlook on profitability. Investors can access comprehensive analysis through Hudbay’s Pro Research Report, one of 1,400+ available on the platform.
The company expects operational synergies between the two Arizona projects, including redeployment of engineering and construction teams from Copper World to Cactus and utilizing sulphuric acid produced at Copper World to leach oxide ore at Cactus. Estimated annual corporate synergies are projected at $5 million to $10 million.
Peter Kukielski, Hudbay’s President and Chief Executive Officer, said the acquisition "further enhances Hudbay’s copper growth pipeline in the U.S. and strengthens Hudbay’s position as a leading Americas-focused copper company."
Arizona Sonoran shares will be delisted from the Toronto Stock Exchange following the transaction closing. The company will apply for Arizona Sonoran to cease being a reporting issuer under Canadian securities laws.
Hudbay operates the Constancia mine in Peru, Snow Lake operations in Manitoba, and Copper Mountain mine in British Columbia. The company produces copper as its primary metal, complemented by gold, zinc, silver and molybdenum.
In other recent news, Hudbay Minerals Inc. reported its first-quarter 2026 earnings, achieving record-breaking revenue of $757.3 million. This figure represented an 8.37% surprise over the forecasted amount. Additionally, the company’s earnings per share (EPS) surpassed expectations, reaching $0.40, which was a 3.76% surprise. These results highlight significant financial performance for Hudbay Minerals in the recent quarter. The company’s financial achievements have been a focal point for investors and analysts alike. The earnings and revenue figures are crucial indicators of Hudbay’s current market position. These developments are part of a series of recent updates concerning the company’s performance.
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