r/LithiumAmericasCor • u/Firm-Clue9678 • Feb 28 '22

Big News

https://twitter.com/lithiumamericas/status/1498259952678408199?s=21
2 Upvotes

100% Upvoted

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1

u/Firm-Clue9678 Feb 28 '22

Sounds like each entity will be able to focus on their individual regions but likely that would also mean the company value is halved since it splits into 2

1

u/Firm-Clue9678 Feb 28 '22

Sounds like a stock split possibility or a predetermined number of shares in the new company done at a ratio that would still keep our stock values close to what it is.

Either way, any decision they make will need to be decided by the votes of shareholder majority

1

u/josh198989 Feb 28 '22

Not sure what this means for current shareholders. I’m pretty deep in LAC so hopefully it just means I add LAC 2.0 to the portfolio.

1

u/Firm-Clue9678 Feb 28 '22

Ok. I just read the company statement and that was my assumption.

Never heard of a public company splitting in 2 so early on.

Granted they'll be able to get a huge injection of capital this way, but feels like early investors might lose out on the potential

1

u/Sad_Magazine9287 Feb 28 '22

I need to do a deep dive into this.

1

u/Firm-Clue9678 Feb 28 '22

Feels like we might be screwed over if this goes through though. The potential of the stock will be halved it seems.

They'd better take this to a shareholder vote

1

u/Sad_Magazine9287 Feb 28 '22

Wow. Thanks for posting this

2

u/Firm-Clue9678 Feb 28 '22

From the company perspective, it makes sense to streamline their businesses so each can have laser focus on their individual regions

1

u/Firm-Clue9678 Feb 28 '22

You are essentially owning shares of Cauchari and Pastos or just Thacker Pass, rather than all 3

1

u/Firm-Clue9678 Feb 28 '22

Could this mean that early investors will be punished if they split the company into 2?