PERTH (miningweekly.com) – US critical minerals major Albemarle will start its due diligence research into ASX-listed Liontown Resources, to allow the company to submit a binding bid.
Albemarle recently confirmed a A$6.6-billion bid for Liontown, tentatively offering A$3 a share in cash for the ordinary shares outstanding in Liontown.
Albemarle earlier this year made a non-binding indicative proposal of A$2.50 a share for Liontown, which the Australian company knocked back, saying it "substantially" undervalued the company.
The revised offer is subject to a number of conditions, including due diligence, the Liontown board unanimously recommending the proposal, and the entering into of a mutually acceptable scheme implementation deed.
Liontown told shareholders on Monday that the due diligence process is expected to take four weeks to complete.