Since African-focused lithium play Atlantic Lithium (A11 AU) entered a A$0.354/share Scheme with Zhejiang Huayou (603799 CH) on the 7th May this year, updates have been thin in the ground.
Yesterday, (26th Oct), Atlantic announced Huayou had secured Ghana’s primary sovereign hurdle to acquire Elevra Lithium (ELV AU)‘s 22.5% direct stake in the Ewoyaa Lithium Project.
This development should accelerate the Scheme timetable; although securing implementation by 2026 year-end is probably a stretch.
Atlantic is very illiquid - look away now if that is not your bag.
The Trade:
Clean deal. Just a question of timing as it relates to Ghanian/PRC regs.
IF small, illiquid arbs are your bag, I’d be picking up shares here - currently trading wide at a 16% gross spread.
Atlantic’s primary listing is in Australia, with a secondary listing on the AIM. The AIM listing is moderately more liquid.