**Disclaimer:**
The following blog post provides information about Ivanhoe Mines' recent replacement of an outstanding loan receivable from High Power Exploration (HPX) with an equity investment in I-Pulse, its parent company. It is important to note that investing in stocks and companies carries inherent risks, and the information in this blog post should not be considered as financial advice or a recommendation to invest. Conduct thorough research and consult a financial advisor before making investment decisions.
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**Ivanhoe Mines Replaces Outstanding Loan Receivable with Equity Investment in I-Pulse, Its Parent Company**
*June 15, 2023, 7:29 AM ET*
**BHP Group Limited (BHP), IVPAF, IVN:CA**
Ivanhoe Mines (IVN:CA) has announced its agreement to replace the outstanding convertible loan balance owed by High Power Exploration (HPX) with an equity investment in I-Pulse Inc. (I-Pulse), the parent company of HPX. I-Pulse, a global leader in pulsed-power technology, is a private American company with research facilities located in Toulouse, France.
Pulsed-power technology is capable of releasing an equivalent power output to that of a nuclear power station in a billionth of a second. This technology has already found commercial applications in high-speed metal forming, welding, and mineral exploration.
Under the new agreement, Ivanhoe will transfer all convertible loan obligations from HPX to I-Pulse in exchange for common shares in I-Pulse. Ivanhoe initially extended a $50 million convertible loan to HPX on April 25, 2019, and as of May 31, 2023, the outstanding loan balance, including accrued interest, amounted to approximately $76 million.
As part of the agreement, Ivanhoe will also receive certain investor rights, including a pre-emptive right to maintain its ownership percentage in I-Pulse in the event of an equity financing. However, this right will cease upon the initial public offering of I-Pulse securities.
It is essential to recognize that investing in the stock market carries risks, and past performance of companies or stocks may not be indicative of future results. The valuation and market capitalization figures mentioned in this blog post are based on available information at the time of writing and are subject to market fluctuations.
Ivanhoe Mines intends to collaborate with I-ROX SAS (I-ROX), a subsidiary of I-Pulse, to explore and develop applications for pulsed-power technology in the mining sector. I-ROX focuses on deploying I-Pulse technology to transform the processes of crushing and grinding mineral ores in the mining industry. This collaboration aims to leverage Ivanhoe Mines' mining and processing expertise with I-Pulse's pulsed-power technology to enhance the economic and environmental impact of mining.
I-Pulse's technology has the potential to significantly reduce the cost and environmental impact of processing mineral ores. By utilizing short, high-intensity bursts of electrical energy, I-ROX has demonstrated the ability to efficiently shatter rocks and mineral ores, thereby reducing the time, energy usage, and greenhouse gas emissions associated with mining activities.
Ivanhoe Mines and I-ROX are working together to develop a collaboration agreement to deploy I-Pulse technology across Ivanhoe's operations. This collaboration seeks to unlock the synergies between Ivanhoe's mining expertise and I-Pulse's pulsed-power technology to improve copper recoveries and enhance the overall efficiency of mining operations.
Investing in recently merged or emerging companies carries inherent risks. Factors such as market conditions, competition, regulatory changes, and technological developments can significantly impact the performance and value of investments.
The advisors involved in the merger include Guggenheim Securities, LLC, Barclays Capital Inc., Kirkland & Ellis LLP, Credit Suisse Securities (
USA) LLC, Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C., and Vinson & Elkins L.L.P. It is crucial to conduct independent research and consult with a qualified financial advisor before making any investment decisions.
For additional information about Ivanhoe Mines, please visit their official website at [https://www.ivanhoemines.com/](https://www.ivanhoemines.com/).
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