European Lithium has significantly enhanced its liquidity position through a partial divestment of its holding in Critical Metals Corp., generating approximately 45 million Australian dollars. The transaction allows the company to maintain a substantial strategic stake in its NASDAQ-listed partner.
Strengthening Financial Flexibility
The sale, finalized on February 4, 2026, involved 2.5 million shares in Critical Metals Corp. This move was executed under a securities agreement dated the previous day. The proceeds, equating to roughly 33.75 million US dollars, provide European Lithium with increased financial resources for its operations.
Despite this divestment, European Lithium retains a major influence over Critical Metals. It continues to hold 45.5 million shares, representing a 37.3 percent ownership stake. This level of retained equity ensures the company remains a key strategic shareholder with considerable sway over future corporate direction.
Key Transaction Details:
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- Gross Proceeds: ~45 million AUD (~33.75 million USD)
- Shares Divested: 2.5 million
- Retained Holdings: 45.5 million shares (37.3%)
- Date of Completion: February 4, 2026
A Vote of Confidence and Strategic Patience
In a clear signal of its long-term outlook, European Lithium has committed to not selling any further Critical Metals shares for the next four months. This voluntary lock-up period underscores management’s confidence in the investment’s potential and safeguards the company’s voting rights during a pivotal phase.
The value of this strategic holding is intrinsically linked to the progress of the Wolfsberg lithium project in Austria, which is owned by Critical Metals. The project’s objective is to supply the European electric vehicle and battery manufacturing sector with a local source of lithium. Recently, the Austrian government extended the mining license for Wolfsberg by an additional two years, a critical development that enhances project certainty and planning security.
The transaction successfully achieves a dual objective for European Lithium: it secures immediate capital to strengthen its balance sheet while preserving its influential role within the Critical Metals corporate network. The company remains well-positioned to benefit from the advancement of the key Wolfsberg asset.
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