Receivers take over Sukin brand owner BWX, Silver Mines’ Bowden project gets greenlight and Rio Tinto backs Energy Resources’ raising

Receivers were called-in for beleaguered BWX (ASX: BWX) after it announced appointed FTI Consulting as voluntary administrators on Monday.

The voluntary administration was expected to help restructure BWX and give it the best chance of future profitability after a tumultuous 2022 that drove net profit after tax down more than 1,767% to a $100.8 million loss for H1 FY2023.

However, the Commonwealth Bank (ASX: CBA) has engaged KPMG Australia to undertake the receivership for BWX and assess the business.

The receivership follows BWX’s inability to renegotiate its debt with the bank.

BWX’s brands include Sukin, Andalou Naturals, Mineral Fusion and Go-To.

Silver Mines’ Bowden project gets development greenlight

Silver Mines (ASX: SVL) impressed investors this week after it announced the New South Wales Independent Planning Commission had given the greenlight for its Bowdens project to proceed to development.

Managing director Anthony McClure said the approval was the most “significant milestone” for Bowdens since the company acquired it in 2016.

“This decision recognises the significant long-term economic and social benefits the project will deliver for our shareholders, the state of New South Wales and also the local communities across the mid-western regional government area.”

Bowdens is Australia’s largest undeveloped silver deposit and believed one of the biggest globally.

It has a resource of 200Mt at 62g/t silver equivalent and initial mine life of 23-years.

Rio Tinto backs Energy Resources’ raising

Mining giant Rio Tinto (ASX: RIO) has backed Energy Resources of Australia’s (ASX: ERA) $369 million raising to fund rehabilitation at the Ranger project in the Northern Territory.

Rio Tinto owns 86.3% of Energy Resources and has pre-committed to subscribe up to $319 million, while Packer & Co and Zentree Investments will kick-in a further $36 million.

The entitlement offer will solely be used to fund the Ranger rehabilitation project and repay a $100 million credit facility to Rio Tinto.

Ranger was one of the world’s longest operating uranium mines – producing from 1981 to 2021.

Since 2019, Energy Resources has spent $524 million on rehabilitating the Ranger, which is largest undertaking of its kind in Australia.

The latest $369 million entitlement offer is expected to fund ongoing rehabilitation expenditure to the end of Q2 in 2024.

Elanor Investors and Challenger form strategic partnership

In a bid to create a strategic real estate partnership, Elanor Investors Group (ASX: ENN) will purchase investment management company Challenger’s (ASX: CGF) real estate funds management business (CRE) for $42 million.

The deal includes Elanor becoming Challenger’s real estate funds management partner in Australia and New Zealand.

The transaction will increase Elanor’s assets under management from $3 billion to $6.4 billion.

Completion of the transaction is subject to shareholder and regulatory approval and is expected to take place by 30 June 2023.

Challenger managing director and chief executive officer Nick Hamilton said the strategic partnership will provide “significant uplift in capability and scale”.

Viva Energy to acquire OTR Group

Viva Energy (ASX: VEA) is set to acquire OTR Group from Peregrine Corporation for $1.15 billion as part of its ambition to become Australia’s top convenience retailer and diversify its earnings.

OTR generates over 70% of its earnings from non-fuel retail, and the acquisition will assist Viva in achieving its goal of establishing more than 1,000 stores.

The acquisition is also expected to accelerate the growth of Viva’s convenience business and Coles Express acquisition through the use of OTR’s advanced technology and supply chain capability.

Upon completion, OTR founder Yasser Shahin will support the existing OTR Group and transition the business to Viva’s chief executive officer of convenience and mobility Jevan Bouzo.