Investments

Our Investment Process

  1. Deal Sourcing
    • Our team members cover large territories. With years of experience in the mining and financial industries, and being industry friendly, we become aware of opportunities.
    • We have deep and global investment banking relationships.
    • Metaform Investments prides itself on acting like “white knights” with real equity and partnering with management groups, to empower them.
  2. Desk Top Analysis
    • The first step in any transaction is thorough desktop analysis, consisting of management interviews, assessing street research and all available public information. Management interviews include particular attention to the company’s risk management approach.
    • A financial model is built with the company’s projections, modified with our team’s experience and judgement.
  3. Preliminary Negotiations
    • If potential investments appear compelling, preliminary discussions are held with the company to understand their needs and Metaform’s – ensuring a meeting of the minds regarding financial and cultural fit.
  4. NDA and Due Diligence
    • We then verify the company’s information and develop an accurate view of the real risks and how they will be mitigated:
    • Project data are analysed and verified in detail, from exploration data through to resources, reserves, metallurgy and all key technical information. Alternative scenarios are optimized and assessed.
    • We Site Visit to observe and assess the entire project first hand to review construction plans and engineering. Engineering estimates are reviewed and the engineers are interviewed along with the project team. We also endeavour to meet with community leaders and government officials.
    • Environmental and CSR plans are reviewed and community relationships are assessed.
    • As our diligence is prepared, the financial model is refined.
  5. Investment Committee Approval
    • Once valuation and technical due diligence are complete, the investment committee will review the findings to understand the balance between risks and reward. If appropriate, an offer to the company will be approved.
  6. Investment Is Made
    • With offer accepted and legal and financial due diligence by outside lawyers and auditors completed, the investment is made.
  7. Ongoing Monitoring
    • We believe in ongoing active involvement. All deals include board representation and covenants. Ongoing monitoring is the responsibility of the board partner. Financial models and risk assessments will be reviewed and kept current.
  8. Planned Exit
    • As the investment nears completion, an exit strategy is planned, as it was contemplated in the original investment.