Contemporary Amperex Technology (CATL), the world’s largest manufacturer of electric-vehicle batteries, agreed to acquire Canada’s Millennial Lithium Corp for $297.3 million, reports Caixin. The Chinese battery maker outbid rival Ganfeng Lithium in the latest foray to expand access to a key batter-making mineral.
Fujian-based CATL will pay $3.02 per common share of Millennial in cash, representing a premium of about 29% over Millennial’s 20-day average closing price in Vancouver trading, according to a statement from Millennial Lithium.
The deal will give CATL access to Millennial’s lithium mining sites in Argentina. In April, battery grade lithium carbonate of 99.96% purity was produced in a trial phase production at Millennial’s Pastos Grandes project in Argentina’s Salta Province. The project has proven reserves of 4.12 million tons of lithium carbonate equivalent (LCE) and is expected to start production by late 2023 with annual capacity of 24,000 tons, public information showed.