https://business.financialpost.com/
On Tuesday, it announced at least its third major deal in the past 12 months: a proposed $96-million buyout of Highlands Pacific
Cobalt 27 Capital Corp.’s stock may be limping along, down more than 75 per cent in the past year, but the Toronto-based company focused on electric vehicles is continuing its dealmaking spree.
On Tuesday, it announced at least its third major deal in the past 12 months: a proposed $96-million buyout of Highlands Pacific Ltd., which owns a stake in a nickel and cobalt mine in Papua New Guinea.
Nickel and cobalt are both key components in the lithium-ion batteries found in electric vehicles as well as smartphones and other devices. Cobalt 27 has been acquiring streams on both metals from mines around the world, betting that growing sales of electric vehicles will turbocharge demand for both metals.
But Cobalt 27’s latest deal reveals how investor views on the company are diverging: market excitement about cobalt and nickel has waned in the past year, as have their prices along with Cobalt 27’s share price, but banks and large investors continue to provide the company with the credit and backing needed to acquire more assets.
“It’s very hard to judge what’s going to happen in any given time period,” Anthony Milewski, chairman and chief executive of Cobalt 27, said, “but over the coming years, it’s clear both (nickel and cobalt) have a bright future.”
For the rest of this article: https://business.financialpost.com/commodities/mining/unfazed-by-market-drubbing-cobalt-27-continues-dealmaking-spree