Critical Metals acquires additional 21.5% in Madini Occidental

LONDON, UK: Critical Metals announced the company’s increased interest in the Molulu ex-producing copper cobalt mine in the DRC.

Critical Metals, which indirectly beneficially owns c.40% of the Molulu Project has, through its wholly owned subsidiary, Critical Metals Mauritius Limited, entered into an agreement to acquire an additional 21.5% in Madini Occidental Ltd which indirectly owns 70% of the Molulu Project.

This increases the beneficial ownership and voting control of Critical Mauritius of Madini Occidental Ltd (MO) from 57% to 78.5%, an increase of 37.7%, and indirectly increases ownership of the Molulu Project from 40% to 55%. It is the Company’s intention to increase its indirect beneficial ownership to 70%.

The shares in Madini Occidental are being acquired from the Company’s Chairman and Chief Executive Officer, Russell Fryer, and therefore it is a related party transaction for the purposes of DTR 7.3.3.

The consideration for the Share Acquisition is £450,000 in cash paid on completion and a further £200,000 on or before 1 October 2023, to be paid in Critical Metals PLC shares at a price equal to the 10 day volume weighted average or cash, at the Company’s election. The Share Acquisition is subject to the approval of the MO board which is expected to occur next week.

Critical Metals, through its wholly-owned subsidiary Critical Metals Mauritius, has on 14 December 2022, also offered to purchase the balance of 21.5% in MO held by Madini Minerals on the same terms as Mr. Fryer, and has until 5pm on 23 December 2022 to accept or decline the offer.

Should the offer be accepted by Madini Minerals Ltd, the Company will provide an update on the completion of the Shareholder Acquisition and the potential purchase of shares in MO from Madini Minerals in due course.

The Company will fund the cash element of the consideration via the existing cash resources in the Company, augmented by the proceeds of the fund raise announced today.