Pilbara Minerals to Acquire Latin Resources

Pilbara South Africa plans to acquire all the shares of Latin Resources in an allstock transaction valued at $377 million. The transaction would add Latin Resources’ Salinas lithium project to Pilbara’s portfolio of lithium-producing assets. Located in Minas Gerais, Brazil, Salinas has the potential to become a top 10 hard rock lithium operation by production globally (excluding Africa). It would also add about 20% to Pilbara’s mineral resources.

“This acquisition is on-strategy, diversifying the business with what we believe is a counter-cyclical, accretive extension that further builds out Pilbara Minerals’ position as one of the leading lithium materials suppliers globally,” said Dale Henderson, managing director and CEO, Pilbara Minerals. “The acquisition will deliver our second Tier 1, hard rock lithium asset, which is expected to be low-cost and accretive for our shareholders. It provides Pilbara Minerals with optionality to sequence new supply and diversify into new growth markets for lithium such as Europe and North America.

Latin Resources shareholders will receive 0.07 new Pilbara Minerals shares for each Latin Resources share held and will own about 6.4% of Pilbara Minerals’ shares.

As featured in Womp 2024 Vol 09 - www.womp-int.com