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

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).