CATL made an A$91m ($62m) strategic investment into Pilbara Minerals

CATL invested in Pilbara Minerals, as an A$91m ($62m) of equity raising process. The Placement will comprise the issue of approximately 305m new Pilbara Minerals ordinary shares at a price of A$0.3 ($0.2) per share. In addition to the Placement, a SPP is expected to raise up to an additional A$20m from eligible shareholders, for potential total raising proceeds of A$111m ($75m). CATL has indicated its willingness to provide commercial support to the Company by purchasing Pilbara Minerals’ spodumene concentrate product which may become available under its existing offtake agreements or otherwise, subject to mutual commercial agreement and parties entering into an offtake agreement. “While there has been commentary talking down the current state of lithium markets, it has belied the significant interest we have continued to see from the strategic players in the lithium-ion supply chain and their focus on lithium raw material supply. In particular, the focus is on the quality and security of the lithium raw material supply and matching the raw material demand growth to growth downstream in the lithium-ion battery supply chain." Ken Brinsden, Pilbara Minerals’ Managing Director.