Sev.en Global Investments to Acquire Majority Stake in Coronado Global Resources

Published: Sept. 25, 2023 at 6:52 p.m. ET

Sev.en Global Investments, a Czech investment group owned by billionaire Pavel Tykac, has reached an agreement to purchase a 51% interest in coal miner Coronado Global Resources, the companies announced in separate statements.

The acquisition will see Sev.en acquire the majority stake in the Australia-listed company from the Energy & Minerals Group, a private equity firm that co-founded Coronado in 2011.

“We believe that Coronado has established a successful business strategy and we will support the company in continuation of its business strategy to grow and strengthen its position both in the U.S. and Australia,” said Alan Svoboda, the Czech investment group’s chief executive. Svoboda further highlighted that the deal aligns with Sev.en’s strategy to expand in these two countries.

Sev.en has a “history as a long-term investor in the energy and mining industries and their focus on sustainable growth,” said Coronado Executive Chair Gerry Spindler, expressing optimism about the partnership.

Coronado mentioned that the deal is subject to customary closing conditions, including regulatory approvals in the U.S. and Australia, where the coal company operates mines that mainly produce steelmaking coal. The financial terms of the transaction were not disclosed.

This acquisition comes amidst ongoing debates surrounding the future of coal as a source of energy, with the global community increasingly prioritizing sustainable and renewable alternatives. However, Sev.en’s focus on sustainable growth suggests that they have a long-term vision aligned with transitioning the industry towards cleaner energy sources.

Sev.en Global Investments has a strong presence in the energy and mining sectors, and this move further solidifies their strategic investment portfolio. The acquisition of a majority stake in Coronado Global Resources positions Sev.en to play a significant role in shaping the future of the coal industry, while also making strides to ensure environmental sustainability.

As with any major acquisition, regulatory approvals will play a crucial role in finalizing the deal. Once completed, this partnership is expected to bring new opportunities for growth and contribute to the evolution of the energy landscape in both the U.S. and Australia.

For more information, contact Rhiannon Hoyle at rhiannon.hoyle@wsj.com.