Zinc Dips as Nexa Plunges 11% on Boliden Takeover
Zinc held near US$3,874 a tonne on Thursday, August 27, backing off from a midweek squeeze. Nexa Resources fell 10.78% to US$13.90, while Peru's Buenaventura ro The post Zinc Dips as Nexa Plunges 11% on Boliden Takeover appeared first on The Rio Times .
Zinc prices dipped on Thursday, August 27, 2026, as the three-month benchmark settled at US$3,890 a tonne in London, a decline from US$3,933 the previous day. The dip came after a surge the previous day that pushed cash zinc to US$4,107 a tonne, a US$217 premium over three-month delivery, the widest gap since Wednesday. The premium indicates tight nearby supply of zinc, driven by demand from galvanised-steel users in construction and infrastructure.
Nexa Resources, a Brazil-headquartered miner and smelter with operations in Peru and Brazil, saw its shares plunge 10.78% to US$13.90 in New York following the news of a definitive agreement between Sweden’s Boliden and Brazil’s Votorantim. Votorantim will acquire a controlling stake of 64.68% of Nexa’s shares and votes, with Votorantim receiving 0.250 newly issued Boliden shares for each Nexa share.
The zinc market remains tight, but the double-digit fall in Nexa’s shares is attributed to the takeover deal rather than the metal itself. Peru’s Buenaventura, a Peruvian producer with zinc and precious metals output, rose 0.33% to US$36.30, suggesting the selling was company-specific rather than a general market decline.
The Boliden deal reshapes the regional zinc landscape, with control of a major zinc producer transferring from the Votorantim family to the Swedish group, Boliden, pending shareholder and regulatory approval. The zinc market remains focused on the physical supply-demand situation, with immediate metal still in high demand and a US$217 premium over three-month delivery. The main risks for the market include sudden releases of warehouse metal or a slowdown in North American construction orders.
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