Arcadium Lithium (ALTM, Financial) announced that its shareholders have voted in favor of a $6.7 billion acquisition by Australian mining giant Rio Tinto (RIO). Following the announcement that approximately 98% of shareholders supported the sale, Arcadium's stock rose about 7% in after-hours trading. The transaction is expected to be completed by mid-2025, positioning Rio Tinto as the world's third-largest lithium producer, following Albemarle and SQM.
Earlier this month, Arcadium disclosed legal challenges from some shareholders accusing the company of misrepresentation, concealment, and negligence in the acquisition process. Rio Tinto had previously stated it would acquire Arcadium for $5.85 per share in cash, a 90% premium over Arcadium's closing price on October 4. The acquisition will give Rio Tinto access to Arcadium's lithium mines and facilities in Argentina, Australia, Canada, and the U.S., along with clients such as Tesla, BMW, and General Motors.
