Ganfeng Lithium acquires control of the Caucharí-Olaroz lithium joint venture in Argentina

27 August 2020

On August 27, 2020,  Ganfeng Lithium Co., Ltd. (together with its subsidiaries, "Ganfeng Lithium") closed the previously announced transaction with Lithium Americas Corp. (TSX:LAC) (NYSE:LAC) to acquire controlling interest in the Argentinian company Minera Exar S.A.  Minera Exar S.A.  owns 100% of the Caucharí-Olaroz lithium project currently under development in Jujuy, Argentina.

On closing, Ganfeng Lithium subscribed for new shares of Minera Exar for cash consideration of US$16 million increasing its interest from 50% to 51%, with Lithium Americas owning the remaining 49%. In addition, Lithium Americas received US$40 million in cash from the proceeds of a non-interest-bearing loan from Ganfeng Lithium. 

Gowling WLG advised Ganfeng Lithium in this transaction with a team led by Linda Hogg and that included Ethan Chang (corporate/M&A).

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