Australia's Essential Metals' shareholders reject Tianqi-IGO bid (updated)

Essential Metals

20/04/2023 05:51

(Adds details, bidder comment, share price move)
       SYDNEY, April 20 (Reuters) - Australia's Essential
Metals Ltd  ESS.AX  said on Thursday that its shareholders had
rejected a A$136 million ($91.16 million) takeover offer from a
joint venture led by China's Tianqi Lithium  002466.SZ  and
Australian miner IGO Ltd  IGO.AX .
    Last week, the lithium developer's largest stakeholder, a
unit of Mineral Resources  MIN.AX , raised its by A$19.5 million
to 19.55%, effectively blocking the bid by Tianqi Lithium Energy
Australia Pty Ltd.
    The bid failed to reach the threshold of 75% of support from
present and voting shareholders, Essential Metals said in a
statement to Australia's stock exchange. "Therefore, the Scheme
was not approved."
    Tianqi Lithium CEO Raj Surendran responded in a statement
that the company "is considering all of its options".
    Shares in Essential Metals were down 3.9% to A$0.495 in
early afternoon trade amid a broader fall in lithium miners.
        
  
($1 = 1.4919 Australian dollars)

 (Reporting by Lewis Jackson, Scott Murdoch and Melanie Burton;
Editing by Muralikumar Anantharaman, Christian Schmollinger and
William Mallard)
 ((lewis.jackson@thomsonreuters.com; Reuters Messaging:
@lewjackk))