(Reuters) – Australia’s Galan Lithium mentioned on Thursday that it rejected a proposal from Zhejiang Huayou Cobalt Co and Renault Group to accumulate the lithium explorer’s stake in its Argentine belongings for $150 million in money.
Galan Lithium described the provide as “opportunistic” and “undervalued”, including that it was for the acquisition of the corporate’s complete curiosity within the Hombre Muerto West (HMW) and Candelas tasks in Argentina.
Shares of Galan have been up 38.1% at A$0.145, as of 0111 GMT, whereas the broader benchmark index was down 1.5%. The inventory climbed to its highest stage since early January.
Final August, EnergyX, a lithium expertise startup firm, made a $150 million provide to buy Galan’s Argentine belongings.
The Hombre Muerto West challenge, Galan’s flagship challenge, is situated close to lithium tasks and owned by Arcadium Lithium and Posco Holdings. Posco is an investor in EnergyX.
(Reporting by Sherin Sunny in Bengaluru; Modifying by Sherry Jacob-Phillips)