European Lithium (ASX:EUR) has strengthened its liquidity position by completing the sale of 2.5 million ordinary shares in Critical Metals Corp (NASDAQ:CRML).
The transaction generated approximately $45 million in proceeds, effectively bolstering the company's total cash reserves to an estimated $356 million.
The strategic move underscores the company's efforts to maintain a robust balance sheet while advancing its diverse portfolio of mining assets across Europe and beyond.
Despite the sale, European Lithium retains a dominant stake in Critical Metals Corp, holding 45,536,338 shares.
Based on the Feb. 4 closing price of US$15.14, this remaining investment is valued at a staggering US$689.4 million.
Tony Sage, Executive Chairman of European Lithium, emphasised that the company has no plans for further share disposals over the next four months.
The "lock-up" period is intended to preserve EUR’s strategic influence in any upcoming corporate transactions.
As an exploration and development stage mining firm, European Lithium remains focused on its core lithium and titanium assets in Austria, Ukraine, and Ireland.
The company also maintains a global footprint with interests in copper, gold, and iron ore through CUFE in Australia, uranium in Tanzania, and rare earth projects in Greenland.
At the time of reporting, European Lithium's share price was $0.24.