European Lithium has completed a sale of 5 million shares in Critical Metals Corp. to raise approximately AU$124 million.
The sale increased European Lithium’s cash reserves to about AU$322 million.
European Lithium still remains a significant shareholder in Critical Metals, retaining 48,036,338 ordinary shares. Based on the closing price of Critical Metals of US$17.17 per share on January 20, the remaining holding is valued at US$824.8 million (AU$1.23 billion).
European Lithium Executive Chairman Tony Sage said the transaction gives the company additional financial flexibility.
“This transaction again proves our investment in the Tanbreez project has been a huge success and hopefully the EUR share price should finally reflect its true asset value,” Sage said.
“The sale will also provide EUR with additional financial flexibility while maintaining a significant exposure to CRML.
“The proceeds will further strengthen our balance sheet and positions the company to continue advancing its core projects, look for new opportunities or return capital to shareholders.”
European Lithium is an exploration and development stage mining company focused on lithium assets in Austria, Ukraine and Ireland.
It also has a direct 7.5 per cent stake in the Tanbreez rare earth project in Greenland.
