The Metals Company Inc (TMC) (Nasdaq:TMC) announced that Korea Zinc has agreed to make a strategic investment of around US$85.2M in the company though the purchase of common shares and warrants through a private placement. Upon closing of this deal, Korea Zinc will become one of TMC’s largest strategic shareholders, with ownership of approximately 5% of the company’s outstanding common shares.
Korea Zinc is a global leader in non-ferrous metal refining and precursor cathode active material (pCAM) technology. This investment is part of an ongoing strategic partnership with TMC
The investment is expected to close on 26 June 2025. Korea Zinc will purchase 19.6M common shares at market closing price of $4.34 per share, and they will also receive a three-year warrant o purchase an additional 6.9M common shares (0.35 warrant shares for every 1 initial common share for no additional consideration) with an exercise price of $7.00 per share, subject to compulsory exercise provisions if TMC common shares trade above $10.00 for 20 consecutive trading days.
Gerard Barron, Chairman and CEO of The Meals Company commented on the deal, “We’re thrilled to welcome Korea Zinc as a strategic investor and partner on our journey to redefine how the United States sources critical minerals for energy, defence, manufacturing and infrastructure. We believe the strategic fit between the two companies is exceptional: If we receive a commercial recovery permit, TMC USA will be in position to deliver a secure, abundant and low-impact supply of four critical metals under U.S. regulatory oversight. Korea Zinc is probably the only company outside of China that has the capability to take TMC USA’s materials and turn them into metal product formats required in the United States. Together, we have the potential to meet the United States’ demand for refined nickel, cobalt and manganese, and contribute copper while completely by-passing the Chinese supply chain.”
“This is more than capital—it’s alignment on values, on urgency, and on building a resilient supply chain for the United States. With TMC’s robust pro forma cash balance of nearly $120 million, we and Allseas can now turn our attention to preparing the Hidden Gem commercial production system in anticipation of the grant of a commercial recovery permit through the U.S. regulatory framework. We look forward to sharing more detail alongside the expected release of our PFS next quarter.”
The Chairman and CEO of Korea Zinc, Yun B. Choi, commented: “I am bullish on nickel and copper. Korea Zinc’s well-developed growth strategy, a.k.a. Troika Drive, is predicated on that very view. As such, we are excited to be an investor in TMC, who I believe will be one of the most competitive nickel and copper producers in the world.”
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