Rio Tinto announced on Wednesday that it reached an agreement to acquire American company Arcadium Lithium plc for $6.7 billion.
The mining giant will pay $5.85 per share in an all-cash transaction that has been approved by the boards of both companies. The deal is expected to close in mid-2025, subject to Arcadium shareholder and regulatory approvals.
"Acquiring Arcadium Lithium is a significant step forward in Rio Tinto's long-term strategy, creating a world-class lithium business alongside our leading aluminium and copper operations to supply materials needed for the energy transition. Arcadium Lithium is an outstanding business today and we will bring our scale, development capabilities and financial strength to realise the full potential of its Tier 1 portfolio," Rio Tinto CEO Jakob Stausholm stated. "This is a counter-cyclical expansion aligned with our disciplined capital allocation framework, increasing our exposure to a high-growth, attractive market at the right point in the cycle."
