PHILADELPHIA and PERTH, Australia - Arcadium Lithium plc (NYSE: ALTM, ASX: LTM), a prominent producer of lithium chemicals with a market capitalization of $6.29 billion, announced today the finalization of its acquisition by mining giant Rio Tinto. This acquisition triggers a Make-Whole Fundamental Change for the 4.125% Convertible Senior Notes due 2025, which were issued by Livent Corporation, a fully owned subsidiary of Arcadium Lithium. The effective date for this change is today, March 6, 2025. According to InvestingPro data, ALTM’s stock is trading near its 52-week high of $5.87, reflecting strong market confidence in the deal.

The completion of this acquisition marks a significant milestone for Arcadium Lithium, which has established itself as a key player in the lithium market, generating annual revenues of $1.01 billion with a gross profit margin of 28.64%. The company boasts a vertically integrated structure with capabilities ranging from lithium extraction, including hard-rock mining, brine extraction, and direct lithium extraction, to the manufacturing of lithium chemicals used in various high-performance applications. InvestingPro analysis shows the company operates with moderate debt levels and maintains a healthy current ratio of 1.09.

Arcadium Lithium has a global operational footprint with facilities and projects located in Argentina, Australia, Canada, China, Japan, the United Kingdom, and the United States. The company is committed to advancing the clean energy transition through its lithium products, which are integral to renewable energy solutions and electric transportation.

The announcement of the acquisition’s completion is based on a press release statement and comes after a series of regulatory approvals and the satisfaction of other closing conditions. The acquisition by Rio Tinto is expected to further enhance Arcadium Lithium’s capabilities and market reach.

Investors and stakeholders of Arcadium Lithium and Rio Tinto will be watching closely to see how this acquisition influences the company’s operations and position in the global market. The lithium market is closely tied to the burgeoning electric vehicle industry and the increasing demand for renewable energy storage solutions.

This news follows Arcadium Lithium’s recent filings and public communications, which have outlined various risks and factors that may impact the company’s performance, including market conditions for lithium products, global economic influences, and environmental regulations. The company has emphasized its focus on innovation and sustainable practices in its operations and product development.

As the lithium industry continues to evolve, the integration of Livent Corporation into Rio Tinto’s portfolio is poised to create new opportunities and potentially reshape the competitive landscape. The stock has shown remarkable momentum, with InvestingPro data revealing a 158% price increase over the past six months. Discover 10+ additional exclusive ProTips and comprehensive financial analysis in the Pro Research Report, available to InvestingPro subscribers.

In other recent news, Arcadium Lithium has completed its merger with Rio Tinto BM Subsidiary Limited, following a court-sanctioned scheme of arrangement. This acquisition, first announced in October 2024, resulted in Arcadium becoming a wholly-owned subsidiary of Rio Tinto, with shareholders receiving $5.85 per share in cash. The transaction led to the suspension of Arcadium’s shares on the NYSE and ASX, with a delisting from the NYSE anticipated soon. Additionally, Arcadium Lithium received clearance from the Committee on Foreign Investment in the United States (CFIUS), confirming no unresolved national security issues with the acquisition. The deal has also obtained merger control clearance in several key jurisdictions, including Australia, Canada, China, Japan, South Korea, and the United Kingdom. However, investment screening approvals are still pending in Australia, Canada, and Italy. As part of the merger, significant leadership changes occurred, with all existing directors resigning and new directors appointed. Arcadium Lithium expects the transaction to conclude before mid-2025, marking a strategic consolidation in the lithium sector.