After Lithium Americas (LAC) agreed to acquire all of the issued and outstanding common shares of Arena Minerals (AMRZF) it does not already own, B. Riley analyst Matthew Key said he believes the addition of Arena, most notably the Sal de la Puna project, will be accretive for Lithium shareholders over the long term, though some equity dilution is expected from the transaction. Key, who said his outlook for Lithium Americas has not materially changed since the benefit of increased scale at Pastos Grandes largely offset the impact of future equity dilution, is maintaining a Buy rating and $39 price target on Lithium Americas shares.
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Published first on TheFly
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