Big moves for Arcadium Lithium (ALTM, Financial) today—shares shot up 9% to $5.73 after the company nailed down a major regulatory win. The Committee on Foreign Investment in the United States (CFIUS) wrapped up its review of Arcadium's $6.7 billion takeover by Rio Tinto (RIO, Financial) and gave it the green light, confirming no unresolved national security concerns. This isn't the first box they've ticked either—merger control clearance is already in the bag across heavy-hitter jurisdictions like Australia, Canada, and China.
But don't pop the champagne just yet. The deal, initially announced in October 2024, still has to clear investment screening approvals in Australia, Canada, and Italy. Despite the remaining hurdles, investor sentiment is buzzing. Why? A successful acquisition could supercharge Arcadium's ability to supply lithium—a material that's becoming as crucial as oil in the race for dominance in electric vehicles and renewable energy storage.
This isn't just about regulatory filings; it's a massive play in the lithium wars. If Rio Tinto pulls this off, Arcadium could solidify its position as a top-tier player in a red-hot market. With the finish line in sight and the deal expected to close by mid-2025, all eyes are now on those final approvals. Buckle up—this could be a game-changer for Arcadium and the entire EV supply chain.
