Clayton Utz and DLA Phillips Fox have advised on a deal that will see a leading Japanese producer of zinc and lead become a cornerstone investor in ASX-listed CBH Resources.

DLA Phillips Fox advised Toho Zinc on the transaction, which involves the Japanese company acquiring a 50% joint venture interest in CBH’s Rasp zinc/lead deposit at Broken Hill, NSW for A$57.5m, an offtake agreement for the Rasp production, a A$10m equity investment in CBH and the early redemption by CBH of A$37.6m notes held by Toho for cash and CBH scrip. Clayton Utz advised CBH on the deal.

The injection of Japanese funds was critical to CBH’s ongoing recapitalisation and its funding strategy for the Rasp deposit at Broken Hill. RBC Capital also advised CBH on the deal.