Lithium Americas Corp. (NYSE:LAC) (TSE:LAC), a leader in the lithium industry, announced the completion of its reorganization, creating two separate, publicly-traded companies — Lithium Americas (Argentina) Corp. and a new Lithium Americas Corp., known as Lithium Americas (NewCo).
Today, both companies started trading on the Toronto Stock Exchange and New York Stock Exchange under the ticker symbols “LAAC” and “LAC,” respectively. This strategic split offers investors a fresh opportunity to invest in the lithium market, which has been a popular investment choice because lithium is a vital material for electric vehicles (EVs).
John Kanellitsas, Executive Chairman, President, and Interim CEO of Lithium Argentina, emphasized that this separation is a noteworthy achievement, allowing each company to focus on distinctive growth opportunities within the lithium industry.
Lithium Americas Argentina has a ~45% stake in the Cauchari-Olaroz brine asset in Argentina and owns other deposits. This company initiated lithium production from its Cauchari-Olaroz asset in June. On the other hand, Lithium Americas (NewCo) will focus on its Thacker Pass asset in Nevada, aiming to start lithium production by 2026.
Is LAC Stock a Buy, According to Analysts?
According to analysts, LAC stock comes in as a Strong Buy based on six unanimous Buy ratings assigned in the past three months. The average LAC stock price target of C$40.67 implies 156% upside potential.
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