United States Antimony Makes Takeover Bid for Larvotto Resources

United States Antimony (USAC) (NYSEAMERICAN:UAMY) said on Sunday (October 19) that it has submitted a proposal to acquire Australian company Larvotto Resources (ASX:LRV).

USAC said Larvotto shareholders would receive six USAC shares for every 100 Larvotto shares held.

USAC recently secured about 10 percent of Larvotto's total issued share capital on the open market, and believes it is currently the company’s largest single shareholder.

The move to acquire Larvotto is in line with USAC’s goal to become a major antimony producer.

Larvotto owns the Hillgrove antimony-gold project in New South Wales, which is expected to become Australia’s largest antimony producer. Hillgrove is projected to produce about 7 percent of global antimony supply.

The asset currently holds a mineral resource of 1.7 million gold equivalent ounces at 7.4 grams per metric ton gold equivalent, and is scheduled to commence production in 2026.

"Our proposal to combine with Larvotto reflects our deep commitment to build a world-class industry player in the critical minerals space and our strong conviction in the strategic and cultural fit between the two organizations as well as our countries,” commented USAC Chairman and CEO Gary C. Evans.

In a separate announcement, Larvotto confirmed receipt of the offer from USAC, saying that it is subject to certain conditions and will be “carefully considered” by the board.

Shares of Larvotto rose following this announcement, closing at AU$1.295 on Monday (October 20). This represents a 4.44 percent increase from the firm's October 17 close of AU$1.24.

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Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.