Lithium Americas Corp. separates into two independent lithium companies
October 3, 2023
4.75 Billion CAD
On October 3, 2023, Lithium Americas Corp. (the "Company") separated, in a tax-free reorganization effected as a plan of arrangement, into two independent publicly traded companies. The Company had announced its intention to pursue the spin-off transaction in November 2022. Completion of the transaction was subject to receipt of approvals from, among others, the Canada Revenue Agency, Internal Revenue Service, Lithium Americas’ shareholders and the British Columbia court.
The North American-focused lithium company is now called Lithium Americas Corp., and owns the Thacker Pass lithium project in Humboldt County, Nevada and the Company’s other North American assets. The Argentina-focused lithium company is now called Lithium Americas (Argentina) Corp. and owns the Company's interest in its Argentine lithium assets, including the Caucharí-Olaroz lithium brine project in Jujuy, Argentina. Both companies’ common shares are listed on the TSX and NYSE.
On January 31, 2023, Lithium Americas Corp. had also announced that General Motors Corp. will invest $650 million in Lithium Americas, to jointly develop the Thacker Pass mine in Nevada, which is the largest known source of lithium in the United States and the third largest in the world.
Lithium Americas, headquartered in Vancouver, BC, is a mining company focused on advancing lithium projects in Argentina and the United States to production.
McCarthy Tetrault advised Lithium Americas with a team led by Robert Richardson that included Jennifer Longhurst (M&A), Raj Juneja, Jeff Oldenwening, Kathryn Walker and Kabir Jamal (Tax), Michael Eldridge, Michael Alty (Capital Markets), Christine Ing and Michael Scherman (Technology).