(Reuters) -Rio Tinto, has made an method to purchase lithium miner Arcadium, the 2 events stated in separate statements on Monday, with out revealing any monetary particulars.
“The method is non-binding and there’s no certainty that any transaction shall be agreed to or will proceed,” Rio stated in its assertion.
Reuters solely reported on Friday that the businesses had been holding talks, and Arcadium might be valued at $4 billion to $6 billion or increased.
Arcadium’s market cap was $3.31 billion at Friday’s shut.
Rio’s method to Arcadium comes as miners are desperate to safe provides of crucial minerals wanted to energy the worldwide power transition.
If consummated, the deal would make Rio one of many world’s largest suppliers of lithium behind Albemarle and SQM. Demand for the ultralight steel is forecast to surge later this decade from progress in lithium-ion battery use in electrical automobiles and client electronics.
(Reporting by Himanshi Akhand and Surbhi Misra in Bengaluru; Enhancing by Cynthia Osterman)