The Grota do Cirilo mine
Brazil-focused Sigma Lithium’s strategic review process will continue into 2024, with the company having entered into contractual and detailed structural negotiations with finalists.
The company has been evaluating strategic alternatives for the company, with parties having shown an interest in acquiring the company, its Sigma Brazil subsidiary and its Grota do Cirilo project, in Brazil.
Sigma’s board says it remains encouraged by the direction of negotiations between the company and the finalists in the process.
Further, as part of the strategic review process, Sigma plans to embark on a dual listing of its Sigma Brazil unit at both Nasdaq and on the Singapore Stock Exchange.
“We are delighted with the overwhelming interest in our business from some of the most admired companies in the battery materials and electric vehicles industries globally, including automakers and battery manufacturers.
“We are also honoured with the direct engagement of C-level executives and board members from the consortiums with our leadership during this strategic process, significantly strengthening our relationships with global leaders and key decision makers of our industry,” comments CEO Ana Cabral.
Lead independent board member Cesar Chicayban adds that, as the company is a completely ramped up producer, it can evaluate strategic alternatives from a position of maximum flexibility despite the current lithium cycle downturn.
The company’s Grota do Cirilo mine started production in April.
“Sigma is one of the largest and lowest-cost producers in the industry and reached net zero, achieving a key competitive advantage for the European Battery Passport.
“Therefore, Sigma Lithium, in parallel to its strategic review, has been laser focused on consolidating its position as one of the majors by concluding the detailed engineering for its production capacity expansion plans.”