The Fund is the result of many historical evolutions since the Sawiris family bought La Mancha Resources Inc. in 2012. The Sawiris family is an Egyptian family with a longstanding history of value creation in telecoms, media, real estate, and mining.
La Mancha Resources Inc. started out as a Toronto-listed junior gold miner in 1996. It became 60% owned by Areva S.A. (“Areva”) in 2006 when the former contributed its gold assets. It remained TSX-listed until it was taken private in 2012 by the Sawiris family when Areva disposed of this non-core activity.
From 2012 to 2015, the newly established group operated three gold mines in Australia, Sudan, and Ivory Coast. In 2015, the group changed its strategy and its portfolio of mines was successfully optimised through roll-ups and exits: the group sold the Ariab Mining Company for cash and contributed its Australian Mungari mine to Evolution Mining Ltd (ASX:EVN, “Evolution”) as well as its Ity mine in Ivory Coast to Endeavour Mining PLC (TSX:EDV, “Endeavour”), in exchange for a c.30% stake and board representation in each company. The group then turned from an operating company into a holding structure.
From 2015 to July 2021, the group actively supported Evolution and Endeavour, by providing specialised mining board support and over US$600 million of additional expansionary capital. That support transformed those portfolio companies into global mid-tier gold producers, ranking within the top 15 in terms of production, whilst being among the 5 lowest cost producers among global peers. The investment portfolio continued to expand from 2018 with the acquisition of additional strategic stakes in Golden Star Resources and Altus Strategies.
In July 2021, the Sawiris family contributed all its mining assets into the Fund which is advised by La Mancha Capital Advisory LLP – link to press release.