Lithium Americas Corp. (LAC) PT Raised to $34 at Jefferies on Strategic Acquisition

Jefferies analyst Laurence Alexander raised the price target on Lithium Americas Corp. (NYSE: LAC) to $34.00 (from $22.00) after the company made an offer to acquire all the shares of Millennial Lithium Corp to expand its growth pipeline into Argentina. The company offered C$4.70, for a total consideration of $400m or ~$16,700/ton.

The analyst reiterated a Buy rating, stating "On EV/ton basis, LAC trades at ~$40,400/ ton. Millennial’s Pastos Grandes lithium brine project in Argentina is close to LAC’s Cauchari-Olaroz project. This could add 24,000 tpy of battery-grade lithium carbonate to LAC’s ongoing projects (40,000 tpy at Cauchari-Olaroz and 40,000 tpy at Thacker Pass in Nevada). "

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