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.
Meet Your ETF AI Analyst
- Discover how TipRanks' ETF AI Analyst can help you make smarter investment decisions
- Explore ETFs TipRanks' users love and see what insights the ETF AI Analyst reveals about the ones you follow.
Published first on TheFly
See Insiders’ Hot Stocks on TipRanks >>
Read More on LAC:
- Lithium Americas to acquire Arena Minerals in transaction valued at $227M
- Lithium Americas to Acquire Arena Minerals to Consolidate the Highly Prospective Pastos Grandes Basin
- Lithium Americas call volume above normal and directionally bullish
- Lithium Americas price target lowered to $36 from $38 at Piper Sandler
- Lithium Stocks Continue to Grab Eyeballs