Lithium Chile Inc.
Lands $250M Offer, Almost Matching Our $255M Valuation
Published: 1/20/2025
Author: FRC Analysts

Sector: Basic Materials | Industry: Other Industrial Metals & Mining
Ticker Symbols:
LTMCF - NASDAQ 🔹
LITH.V - NEO 🔹
- LITH has attracted an undisclosed large Asian diversified enterprise to acquire its 80% interest in the Arizaro project in Argentina for $250M, closely matching the $255M valuation in our most recent update report from July 2024. We are very pleased with the transaction, not only because the deal size is close to our fair value estimate, but also because we had identified Arizaro as a prime acquisition target in our recent reports.
- Management expects to close the deal this quarter. LITH’s MCAP of $145M, compared to the $250M deal, indicates shares remain undervalued, with no value given to any of the company’s other assets.
- LITH intends to return the majority of the net proceeds from the sale to shareholders via a special dividend. We believe the shares could experience an uptick when the deal is completed.