Simpson Thacher is representing Secure Natural Resources LLC in connection with its acquisition by Fortress Value Acquisition Corp. (“Fortress”) (NYSE: FVAC), a special purpose acquisition company sponsored by an affiliate of Fortress Investment Group LLC. As a part of the transaction, Fortress is also acquiring MP Mine Operations LLC (dba “MP Materials”). The transaction is expected to close in the fourth quarter of 2020, subject to regulatory and stockholder approvals, and other customary closing conditions.
Secure Natural Resources is the owner of certain mineral rights at Mountain Pass, the only rare earth mining and processing site of scale in North America. MP Materials is the owner and operator of the Mountain Pass Rare Earth Mining and Processing facility and produces approximately 15% of global rare earth materials. The combined company will have an estimated post-transaction equity value of approximately $1.5 billion.
The Simpson Thacher team includes Greg Klein, Mike Kaplan, Eric Swedenburg, Daniel Switts and Claire Hutar (M&A); Dan Webb and Adam Spaulding (Capital Markets); Drew Purcell (Tax); and David Rubinsky and Ashlie Lawton (ECEB).