09:22 AM EDT, 07/18/2025 (MT Newswires) -- Alpayana said Friday it does not support Sierra Metals' ( SMTSF ) separation agreements with chief executive Ernesto Balarezo and other company executives.

Under the agreements, Sierra made one-time payments totaling US$3 million to the executives.

Alpayana, which is in the process of acquiring the company, said Sierra delayed the disclosure of the separation agreements, which included change of control payments that deprived Alpayana's right to determine whether it would retain the executives if its takeover pushes through.

Alpayana also raised Sierra's liquidity concerns, including high and expensive debt load and high corporate expenses. As a result, the agreement was "highly inappropriate and not in the best interests of the company," Alpayana said.