BOARD OF DIRECTORS RECEIVE PROPOSALS FOR SIGMA LITHIUM AND SIGMA BRAZIL FROM LEADING GLOBAL COMPANIES; CONDUCTING STRATEGIC REVIEW
- Sigma Lithium and Sigma Brazil have received multiple proposals from potential strategic partners, indicating strong strategic interest in their businesses.
- Sigma Brazil is the only global producer of Triple Zero Green Lithium, which is a significant competitive advantage.
- The Strategic Process is expected to be concluded this year.
- None.
HIGHLIGHTS
- The Board of Directors of Sigma Lithium and Sigma Brazil announce it has received multiple strategic proposals for the Brazilian Company Sigma Mineração ("Sigma Brazil"), for the Canadian parent Sigma Lithium Corporation (together the "Companies" or separately the "Company") as well as for the Grota do Cirilo Project (the "Project").
- The Companies and the Project have attracted interest from potential strategic partners, including global industry leaders in the energy, auto, batteries and lithium refining industries.
- The Companies have a distinct position in the lithium industry globally as one of the "suppliers of choice" for the next generation of electric vehicles, whose consumers are concerned with environmentally and socially responsibly sourced materials.
- Sigma
Brazil is the only global producer of Triple Zero Green Lithium: zero carbon, zero tailings and zero hazardous chemicals, while recirculating100% of the "sewage grade" water utilized in its production process. - Sigma Lithium's strategy is fully aligned with the decarbonization ethos of electric vehicles and of governments worldwide.
- Sigma
- In reviewing the proposals received, the Board of Directors of the Companies are deeply committed to maximizing value for all public shareholders of Sigma Lithium, as well as for all stakeholders, employees and communities of Sigma Brazil at Vale do Jequitinhonha.
- As ESG-centric companies, both Sigma Lithium and Sigma Brazil plan to adhere to the highest standards of governance in making a final decision on any strategic initiative.
- The decision regarding the strategic path of the Companies will be made by a shareholders' meeting of Sigma Lithium, where a "majority of the minority shareholders" of Sigma Lithium shall cast the deciding vote.
- In order to significantly increase the scale of the social and environmental programs of Sigma Brazil, the Companies incorporated the Green Lithium Institute ("Instituto Litio Verde") and endowed it with the existing remaining "founders royalty" which is a
1% net smelter royalty.- We expect that any potential strategic partner of the Companies will be committed to contribute to the success of Instituto Litio Verde.
- Sigma
Brazil has the potential to become a catalyst inBrazil for the development of the most sustainable industrial chemical midstream within the global lithium supply chain.- The Companies' Triple Zero Green Lithium coupled with their environmental expertise in managing carbon footprint, minimizing water and soil impacts, as well as recycling tailings are significant competitive advantages in potentially extending their industrial green beneficiation activities to produce Triple Zero Green Lithium Chemicals.
- As ESG-centric companies, both Sigma Lithium and Sigma Brazil plan to adhere to the highest standards of governance in making a final decision on any strategic initiative.
The Companies received several proposals in relation to the Brazilian Company Sigma Mineração ("Sigma Brazil"), for the Canadian parent Sigma Lithium Corporation (together the "Companies" or separately the "Company") as well as for the Grota do Cirilo Project (the "Project"). The proposals from the potential strategic partners differ in nature and structure and are subject to ongoing review and negotiations.
Ana Cabral, Co-Chairperson of the Board and CEO of Sigma Lithium, stated:
"Sigma Lithium is humbled and pleased by the strong strategic interest in our businesses from industry leaders in the energy, auto, battery and lithium refining industries. Our success is driven by the relentless commitment and tireless work ethic of our incredibly diverse team, who have been determined from the very beginning to build the most socially and environmentally sustainable producer of industrialized lithium materials in the world.
We are all very proud of our unique culture of teamwork and what we have accomplished for
Our strategic review process coincides with our industry-first achievement of Triple Zero Green Lithium: zero carbon, zero tailings and zero hazardous chemicals. We recently disclosed the leaps in operational ramp-up at our Greentech lithium plant, including the success of our pioneer environmental tailings and water management industrial plant module, encompassing an innovative dry stacking of tailings coupled with water reuse.
Now as a full-fledged global producer, Sigma Lithium's Board of Directors is conscious of its fiduciary duty and the responsibility involved in selecting our strategic partner, enabling Sigma Brazil to continue to take our country to the next level in securing its vital position within the global lithium supply chain."
The Board of Directors and management team are committed to acting in the best interests of the Company, its public shareholders, its employees and its community. Each alternative will be thoroughly considered before any strategic partner is selected or any transaction is agreed. The decision regarding the outcome of the Strategic Process will be made at a shareholders' meeting of Sigma Lithium, where a "majority of the minority shareholders" of Sigma Lithium will be required for the deciding vote.
The Company plans to conclude the Strategic Process this year, but there can be no assurance that it will result in the completion of any specific transaction or outcome. Nor can a definitive timetable be set for its completion. The Company does not intend to disclose further developments with respect to this Strategic Process, unless and until the Board of Directors has completed its assessment, or the Company determines that additional disclosure is required by law or otherwise deemed appropriate. The Company has engaged BofA Securities and BTG Pactual in
ABOUT SIGMA LITHIUM
Sigma Lithium (NASDAQ: SGML, TSXV: SGML, BVMF: S2GM34) is a leading global lithium producer dedicated to powering the next generation of electric vehicle batteries with environmentally sustainable and high-purity lithium.
Sigma Lithium has been at the forefront of environmental and social sustainability in the EV battery materials supply chain for six years and it is currently producing Triple Zero Green Lithium from its Grota do Cirilo Project in
Please refer to the Company's National Instrument 43-101 technical report titled "Grota do Cirilo Lithium Project Araçuaí and Itinga Regions,
For more information about Sigma Lithium, visit https://www.sigmalithiumresources.com/
Sigma Lithium
LinkedIn: Sigma Lithium
Instagram: @sigmalithium
Twitter: @SigmaLithium
FORWARD-LOOKING STATEMENTS
This news release includes certain "forward-looking information" under applicable Canadian and
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
View original content to download multimedia:https://www.prnewswire.com/news-releases/board-of-directors-receive-proposals-for-sigma-lithium-and-sigma-brazil-from-leading-global-companies-conducting-strategic-review-301926030.html
SOURCE Sigma Lithium