EV Upsurge Triggers Escalating Lithium Competition

In July 2021, Lithium America's biggest shareholder, Ganfeng Lithium Co., Ltd., initiated a CAD 353 million acquisition to the Millennial Lithium. In September, CATL nevertheless brought up an abrupt CAD 377 million offer and took over the deal from Ganfeng Lithium. Afterward, CATL paid Ganfeng Lithium USD 10 million as compensation.

However, Ganfeng Lithium refused to accept the loss. On November 11, Lithium Americas offered Millennial lithium a deal 35% higher than CATL's original bet and secured the acquisition six days later. Although many recognized the acquisition as Ganfeng Lithium's reprisal, the A-share listed lithium firm claimed it was nothing to do with their branch company's decision.