By: ICN Bureau
Last updated : October 17, 2023 6:46 am
The decision comes as Albemarle nears the end of its exclusive due diligence process
Albemarle Corporation, a global leader in providing essential elements for mobility, energy, connectivity and health, announced today it will not pursue a binding agreement to purchase Liontown Resources Limited and has formally withdrawn its non-binding offer to Liontown's Board of Directors.
The decision comes as Albemarle nears the end of its exclusive due diligence process.
"Our engagement with the Liontown team has been meaningful and productive. We appreciate the level of cooperation we have received, and we thank the entire team for their efforts," said Kent Masters, CEO of Albemarle. "That said, moving forward with the acquisition, at this time, is not in Albemarle's best interests."
The company noted growing complexities associated with the proposed transaction as a factor in its decision.
The announcement is consistent with Albemarle's disciplined approach to capital allocation and the company will continue to execute its long-term growth strategy. Planned expansions to deliver volumetric growth continue to progress across the company's global portfolio. Albemarle's capital allocation priorities remain investing in high-return organic and inorganic growth, maintaining its financial flexibility and investment grade credit rating, and funding its dividends.
Albemarle is one of Australia's biggest lithium investors, with mining assets at Wodgina and Greenbushes, and with the Kemerton lithium hydroxide plant, which is currently undergoing a significant expansion.