Aura Minerals (AUGO) Registration filing summary

Company overview and business model

• Operates as a mid-tier gold and copper producer with mines in Brazil, Mexico, and Honduras, and development projects in Brazil and Guatemala.

• Focuses on operational efficiency, disciplined capital allocation, and sustainable growth, with a decentralized management structure.

• Portfolio includes four operating mines, one in ramp-up, and several development/exploration projects, with a strong track record of on-time, on-budget project delivery.

• Revenue is diversified by geography and product, with gold accounting for 67% and copper/gold concentrate for 33% of 2024 revenue.

• Maintains a strong ESG focus, with recognized safety, environmental, and social responsibility initiatives.

Financial performance and metrics

• 2024 revenue reached $594.2 million, up 42.5% from 2023, with gross profit of $251.3 million and adjusted EBITDA of $266.8 million (44.9% margin).

• Net cash from operating activities was $222.2 million in 2024, with adjusted free cash flow of $178.2 million and cash conversion of 66.8%.

• Adjusted net income for 2024 was $69.2 million; reported net loss was $30.3 million, mainly due to unrealized losses on gold derivatives.

• Cash costs per gold equivalent ounce sold were $1,042, and all-in sustaining costs (AISC) were $1,320 per GEO in 2024.

• Dividend yield plus buybacks reached 7.9% in 2024, with $218 million returned to shareholders since 2021.

• As of March 31, 2025, total assets were $1.14 billion, with $467.7 million in loans and debentures and $139.9 million in equity.

Use of proceeds and capital allocation

• Net proceeds of ~$205.4 million (up to $237.1 million if overallotment exercised) will fund the upfront cash payment for the MSG Acquisition, support strategic growth initiatives, and provide general corporate liquidity.

• $90 million allocated for advancing development projects (Era Dorada, Matupá, Carajás), $10 million for exploration, and the remainder for general purposes.

• Capital allocation strategy prioritizes high-IRR projects, disciplined expansion, and maintaining strong capital efficiency.