Sherritt in Talks to Hand Control of Cuba Mining Business to Ex-Trump Adviser
(Bloomberg) -- Sherritt International Corp. is in talks to hand a controlling stake to a family office linked to a former adviser of President Donald Trump, as the mining company seeks to navigate US sanctions tied to its Cuba operations.
The Toronto-based company said it signed a non-binding term sheet for a private placement involving a warrant, which would allow Gillon Capital LLC to acquire enough common shares to own 55% of the company on a fully exercised basis, according to a statement Wednesday.
Sherritt expects that the exercise price will be at a discount to the company’s closing price May 15. The company, which operates nickel and cobalt mining and refining businesses tied closely to Cuban state partners, on Tuesday reversed course on plans to unwind its operations in the Caribbean country.
Shares of Sherritt, which trades as a penny stock, rose 9% in early trading in New York.
Gillon Capital is the family office of Ray Washburne, a real estate executive whom Trump appointed in 2017 to head the Overseas Private Investment Corporation before later naming him to the Presidential Intelligence Advisory Board.
Sherritt said it has “engaged constructively” with the US Department of State, which confirmed no objections to Gillon Capital’s engagement with the company, according to Wednesday’s statement. The Department of State and Department of Treasury don’t view the negotiations as contrary to US law, the statement said.
Last week, Sherritt said it was considering steps to relinquish its 50% stake in a Cuban nickel-and-cobalt mine, as well as surrender its interest in an energy joint venture with the state. On Tuesday, it backtracked on that decision and flagged it was evaluating a “potential value preserving opportunity.”
Sherritt operates nickel and cobalt mining and refining businesses tied closely to Cuban state partners and has long depended on the country for a significant portion of its production.
The company has been in turmoil since Trump signed an executive order earlier this month targeting non-US individuals and entities doing business in Cuba, which has faced sweeping US sanctions since the 1960s. The upheaval triggered a wave of departures, including three board members and the chief financial officer, and triggered a plunge in its share price.
(Adds details from sixth paragraph.)
©2026 Bloomberg L.P.
