Mineral Resources is a leading Australia-based mining services and processing company. TDM bought shares in the 2006 initial public offering and upon early engagement with management, it became obvious that they had built a unique business. This was a newly listed business in an industry that had been historically very challenging. Whilst other investors had turned a blind eye to the long-term value that could be created, we saw an opportunity to deeply understand the people and the complex business model better than any other investor.
We loved that Mineral Resources had a founder-led management team that owned a significant portion of the business. We found that they uphold our own values: they value investing over the long term, are fuelled by owner-led passion, and prioritise team and culture above all else.
Importantly to us, they exhibited a mindset of hustling for every dollar, humility, and a focus to develop significant competitive advantages over time.
TDM invested at IPO over 18 years ago and is still an investor today. We love to be invested alongside passionate founders, as we know in our experience it creates alignment of interests and focused long-term decision-making.
Over the years, we have built a fantastic and collaborative relationship with management and played a role in articulating Mineral Resources’ unique build-own-operate value proposition to the market.
Mineral Resources have grown from a market capitalisation of $120m in 2006 to over $14b today, on the back of becoming the world’s best designers and operators of ore-crushing facilities and innovators in cost effective mining solutions. Including dividends, the investment is up over 94x from TDM’s initial purchase price.
