Materials
ALB sweetens its offer for Liontown to A$3.00/share, a significant premium to its initial reported offer of A$2.20/share in Oct 22. ALB’s persistent interest in LTR points to a long-term plan that would secure stakes in 3 of the top 5 Australian spodumene mines, while it also reduces Chilean exposure and increases US FTA compliant production. However, the downside is that it is a full price being paid, leveraging the balance sheet and likely locking ALB out of other moves, at least for a few years. GMR maintains their Sell rating on the stock.
Edition: 169
- 15 September, 2023