Liontown Resources Announces Albemarle’s Withdrawal from Buyout Bid
Australian lithium producer Liontown Resources revealed that Albemarle, the US-based corporation, has terminated its A$6.6 billion ($4.16 billion) buyout offer due to “growing complexities” surrounding the deal.
Liontown Resources announced that Albemarle has withdrawn its indicative proposal, citing issues related to the transaction. This development comes after Liontown granted Albemarle an extension to review its financial data and submit a binding offer.
Deal Abandoned Due to Hancock Prospecting’s Acquisition
Hancock Prospecting, a company controlled by Australia’s wealthiest individual, Gina Rinehart, recently acquired a 19.9% stake in Liontown Resources. This significant ownership would likely have hindered Albemarle’s bid, resulting in the deal’s abandonment.
Liontown Halts Trading Amid Funding Finalization
Following the announcement, Liontown Resources entered a trading halt to finalize funding arrangements for its Kathleen Valley lithium project.
Hancock Prospecting has not yet responded to a request for comment from Reuters.
The current exchange rate is $1 to 1.5868 Australian dollars.