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LUMI - Lundin Mining News Story

SEK98.3 -3.7  -3.6%

Last Trade - 14/05/21

Basic Materials
Large Cap
Market Cap £6.14bn
Enterprise Value £6.52bn
Revenue £1.66bn
Position in Universe 120th / 1832

BUZZ-Lundin Mining: Chapada deal, FCF inflection on track - MS

Mon 20th May, 2019 2:26pm
** Morgan Stanley expects Canadian miner Lundin Mining's
 LUN.TO  Chapada acquisition to add to free cash flow in 2019
and 2020
    ** MS forecasts a substantial fall in co's capex, starting
2020, despite Chapada deal
    ** MS says co's strong balance sheet is supported by an
inflection in the company's FCF profile, as capex set to fall
while volumes increase, with growth projects progressively
ramping up
    ** Lundin Mining's planned acquisition of the Chapada offers
optionality to increase production above and beyond the existing
mine plan - MS*:nL3N21X2P2
    ** "Given an anticipated cash build next year, we take
comfort in the company's acquisition track record" - MS
    ** MS stays 'overweight' on stock, cites attractive
valuation, strong FCF inflection,
    ** In a bull case, the mine could create shareholder value
of C$0.33/share - MS estimates
    ** Stock up 11.5% YTD

 (Reporting By Arundhati Sarkar in Bengaluru)
 ((Reuters Messaging:
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