Sherritt International Corp. has entered into a preliminary agreement with Gillon Capital LLC, the family office of a former Trump administration adviser, to potentially acquire a controlling interest in the company. Under the non-binding deal, Gillon would hold a warrant enabling it to purchase enough shares to secure a 55 percent ownership stake in Sherritt.
Should the agreement proceed, Sherritt anticipates that Gillon’s acquisition price will be set below the company’s closing share price on May 15. The Canadian mining firm has faced increased challenges due to U.S. sanctions impacting its operations in Cuba. The Trump administration has imposed measures, including a de facto fuel blockade and expanded sanctions, leading to foreign entities exiting the country.
In response to these pressures, Sherritt recently announced halting its plans to dissolve its Cuban interests, such as its partnership with Nickel Company S.A., a state-owned Cuban nickel enterprise. This decision was a reversal of an earlier announcement made after the joint venture faced sanctions from the U.S.
Gillon, associated with the Washburne family, has ties to Ray Washburne, who served as the head of the U.S. development bank and as a member of the president’s intelligence advisory board during the Trump administration. Sherritt has indicated that the U.S. State and Treasury Departments have not raised objections to Gillon’s discussions with the company, though any final agreement would necessitate their approval.