Join our community of smart investors
OPINION

Major Bacanora Lithium shareholder backs takeover

Major Bacanora Lithium shareholder backs takeover
November 11, 2021
Major Bacanora Lithium shareholder backs takeover

The London Stock Exchange buyout frenzy has gone so far as to see a company make an offer for another before it has even listed, in the case of Abrdn (ABDN) and interactive investor, but while a handful of megadeals have come and gone (bye, Morrisons), one takeover situation has been slowly bubbling away.

Now, after six months, the tussle for Bacanora Lithium (BCN) is coming to a crucial juncture. It has featured in these pages recently thanks to the efforts of ShareSoc, a shareholder rights group, which says Bacanora investors are getting a raw deal from the offer by Chinese lithium giant Ganfeng, which is 67.5p a share in cash and 0.23589 shares in Bacanora subsidiary Zinnwald Lithium (ZNWD).

The transaction process is currently suspended because Mexican authorities have not yet signed off on the change in control. The company’s key asset, the Sonora lithium project, is in Mexico.

This is subscriber only content
Start your trial to keep reading
PRINT AND DIGITAL trial

Get 12 weeks for £12
  • Essential access to the website and app
  • Magazine delivered every week
  • Investment ideas, tools and analysis
Have an account? Sign in