European Lithium Ltd remains on track to complete a merger and Nasdaq listing in the second quarter of 2023 after the filing of an F-4 amendment with the Securities and Exchange Commission (SEC).
The lithium stock, which is focused on advancing the wholly owned Wolfsberg Lithium Project in Austria, entered a business combination agreement with Sizzle Acquisition Corp late last year, paving the way for the Nasdaq listing.
In a nutshell, EUR has teamed up with the special purpose acquisition company to form a new lithium exploration and development company named Critical Metals Corp, which is expected to join the Nasdaq under the ticker ‘CRML’.
Once the SEC makes its F-4 filing effective, European Lithium chairman Tony Sage said the Sizzle board will convene a shareholder meeting to approve the transaction. “We will work to finalise the NASDAQ listing process shortly thereafter,” he concluded.
Building exposure to US lithium market
The latest amendment comes after EUR lodged the initial F-4 registration statement Critical Metals Corp in December last year. Amendments were filed in February, March and May as the company dots the I’s and crosses the T’s on key regulations before the new vehicle hits the boards.
Once the deal closes, EUR will receive US$750 million worth of CRML shares, cementing a considerable 80% interest as the Nasdaq-lister advances the Wolfsberg asset. Critical Metals Corp is expected to be one of the leading lithium stocks on the Nasdaq, opening the doors to a pivotal market in the green energy revolution.
“Through the business combination with Sizzle, Critical Metals Corp expects to access substantial opportunities available in the US market as it supports the clean energy transition,” Sage said in December last year.
In recent months, European Lithium has also signed a non-binding memorandum of understanding (MoU) with Saudi-based Obeikan Investment Group to build and operate a hydroxide plant under a joint venture (JV) in Saudi Arabia.
The company released a definitive feasibility study for Wolsfberg in March 2023, outlining a net present value of US$1.5 billion and a 33.3% internal rate of return.
The DFS positions the asset to deliver high returns and leverage low operating costs in a market that’s expected to remain in structural undersupply over most of its mine life.