Argentina Lithium & Energy Corp. (TSXV: LIT | FSE: OAY3 | OTC: PNXLF), has entered into a definitive agreement for a US$90M investment by Stellantis, one of the world’s leading automakers and mobility providers with iconic brands including Alfa Romeo, Chrysler, Citroën, Dodge, Fiat, Jeep®, Maserati, and Peugeot.
Stellantis subsidiary, Peugeot Citroen Argentina S.A., has agreed to invest this amount to acquire shares of Argentina Lithium (ALE). Further, Stellantis has been granted the right to exchange all ALE shares for up to 19.9% of the outstanding common shares of Argentina Lithium (on an undiluted basis) in the future, subject to certain conditions. The proceeds will be used to advance development of the company’s lithium projects held through its wholly owned subsidiary in Argentina, and for general corporate purposes.
“We are delighted to have Stellantis as a partner in the future development of our lithium projects in Argentina. Together, we share a vision to build a sustainable lithium mining operation for the future,” Argentina Lithium President & Chief Executive Officer Nikolaos Cacos said.
“We look forward to a strong and successful relationship with Stellantis and we are committed to delivering a sustainable lithium product that will contribute to the electrification of transportation and the protection of our atmosphere.”
As a result of the transaction, Stellantis will own 19.9% of the issued and outstanding shares and Argentina Lithium will own 80.1%. Accordingly, subject to any adjustments, the maximum number of “exchange shares” Stellantis will receive is 53,011,137 shares.
For further information, please visit: www.argentinalithium.com
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