TLDR
- Critical Metals (CRML) agreed to buy European Lithium in a deal valued at about $835 million.
- The deal gives Critical Metals full ownership of the Tanbreez rare earth project in Greenland.
- CRML already held 92.5% of Tanbreez; European Lithium owned the remaining 7.5%.
- Under the deal terms, European Lithium stockholders will receive 0.035 CRML for each held.
- CRML stock jumped more than 6% on the news, with some sources citing gains as high as 11%.
Critical Metals (CRML) has agreed to buy all outstanding stock in European Lithium (EULIF) in a deal worth about $835 million. The move gives the U.S.-based miner full ownership of the Tanbreez rare earth deposit in Greenland.
Critical Metals already held 92.5% of Tanbreez. European Lithium owned the remaining 7.5%. The deal consolidates full control under one operator.
CRML stock jumped more than 6% during Monday’s regular trading session following the announcement. Some reports put the intraday gain as high as 11%.
The transaction is structured as an all-stock deal. European Lithium stockholders will receive 0.035 Critical Metals for each they hold. The deal is expected to close in the second half of 2026.
The two companies share senior leadership. Critical Metals CEO Tony Sage also serves as executive chairman of European Lithium. Dietrich Wanke, CEO of the Australian-listed company, serves as president of Critical Metals’ European operations.
Critical Metals said the full ownership would simplify decision-making and strengthen its financing strategy as Tanbreez moves toward a development decision.
Why Tanbreez Matters
Tanbreez is considered one of the world’s largest known heavy rare earth deposits. The elements extracted there are used in electric vehicle motors, wind turbines, medical equipment, oil refining, and defense systems.
Western governments have been pushing to reduce dependence on China for rare earth supply chains. Tanbreez is viewed as a key alternative source.
Late last year, Reuters reported that the Trump administration had discussed taking a direct stake in Critical Metals, which would give Washington a financial interest in the project.
Critical Metals was spun out of European Lithium in 2024. It was formed by combining European Lithium’s Wolfsberg lithium project in Austria with a SPAC called Sizzle.
What’s Next for CRML
European Lithium had been under trading halts on the ASX before this announcement, following speculation around a potential takeover.
With the acquisition, Critical Metals can now move ahead on permitting, long-term supply agreements, and financing without needing to coordinate with a separate minority owner.
Wall Street analysts currently hold a Moderate Buy rating on CRML based on one Buy rating issued in the past three months. The average price target sits at $20.00 per share, which implies about 65% upside from recent levels.
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