Critical Metals Targets Greenland Rare-Earths with $835 Million European Lithium Bid

Critical Metals (NASDAQ: CRML) announced on Monday that it has signed a letter of intent to acquire all outstanding shares of its peer, European Lithium. The proposed all-stock transaction is valued at approximately $835 million and is designed to give the American mining company full ownership of the Tanbreez project, a significant rare-earth deposit located in Greenland. According to the company, the acquisition is intended to simplify the ownership structure, decision-making processes, and financing strategies for the Tanbreez asset as it progresses toward a final development decision. Investors reacted strongly to the strategic move, driving CRML shares up by nearly 26% during the trading session. Under the terms of the proposal, European Lithium shareholders would receive just under 0.04 shares of Critical Metals for each share they currently hold. The deal remains subject to approval by European Lithium shareholders and is expected to close in the second half of 2026. The two entities already share a close financial relationship; European Lithium currently holds more than 45.5 million shares of Critical Metals, representing roughly 34% of its outstanding shares. Critical Metals indicated that it intends to cancel these shares upon the completion of the merger. European Lithium has implemented a trading halt on its European listing, which is scheduled to remain in place until April 28. The consolidation of the Tanbreez play is viewed as a pivotal step in securing critical mineral supply chains.