Lithium Americas Corp. submitted an unconditional offer to Millennial Lithium Corp. to acquire all of the outstanding shares of Millennial. Under the terms of the offer, on closing, each Millennial shareholder will receive C$4.70 per common share, payable in Lithium Americas common shares and C$0.001 in cash per common share, representing total consideration of approximately US$400 million. Based on the company’s closing price, this would result in Millennial shareholders owning approximately 9.9% of Lithium Americas.

“In proximity to Caucharí-Olaroz, Millennial’s 100% owned Pastos Grandes lithium brine project represents an attractive regional growth opportunity for Lithium Americas,” President and CEO Jonathan Evans said. “As we bring Caucharí-Olaroz into production over the next year and continue to advance our Stage 2 expansion planning, the addition of this highly complementary lithium brine resource further enhances our long-term growth strategy in Argentina and leverages our technical and development expertise.”

The board of directors of Millennial unanimously determined the offer constitutes a “superior proposal” to one made by Contemporary Amperex Technology Co. Ltd. (CATL) in September. CATL agreed to pay C$3.85 per common share of Millennial.

Millennial notified CATL of the 10-business day matching period, during which CATL has the right to propose to amend the terms of its agreement. The matching period expires on November 16.