King & Wood Mallesons (KWM) has advised Prospect Resources Limited on the sale of the Arcadia Lithium Project for US$422 million.
King & Wood Mallesons (KWM) has acted for Prospect Resources Lithium on the sale the Arcadia Lithium Project in Zimbabwe (in which Prospect holds 87% interest) for US422 million to a subsidiary of Zheijiang Huayou Cobalt Co, a new energy lithium-ion battery material producer (Huayou). The sale completed on 20 April 2022 and represents the recognition of the value and potential of the Arcadia Lithium Project and was the result of the strategic partnership process undertaken by Prospect which began in August 2021.
The KWM team was led by Partner Nigel Hunt with support from Senior Associate Angela Zhao and Solicitor Allison Warrier.
Commenting on the transaction, Nigel Hunt said “It was our great pleasure to assist Prospect Resources, a long term client of the firm, to successfully complete this complex transaction that has crystallised significant value for shareholders. We saw how Prospect Resources have taken the Arcadia Lithium Project from an early stage exploration project to a pre-construction project with an operating pilot plant, and I have no doubt that this is the beginning of a dynamic new phase for the Arcadia Lithium Project under Huayou’s ownership. It will also be fascinating to see where Prospect goes next (as “Prospect 2.0”) – the team at Prospect has already shown what they can do so the future looks bright. We were very pleased to have been able to play our part in delivering a successful outcome.”