Lithium South Shareholders Await Final Payout Following Asset Sale

Lithium South shareholders approve sale of Argentina project to POSCO, triggering a CAD $0.505 per share cash distribution and planned delisting by April 2026.

Lithium South Development Corporation is moving decisively toward its exit from public markets. The company's shareholders have approved the sale of its flagship Hombre Muerto North project in Argentina to POSCO, setting a definitive timeline for a final cash distribution and subsequent delisting.

Shareholder Approval Sets Exit in Motion

A pivotal shareholder vote in mid-February gave the green light to two interconnected corporate actions: the divestiture of the subsidiary NRG Metals Argentina to POSCO Argentina and POSCO Holdings, and the subsequent withdrawal of Lithium South from stock exchange listings. This transaction involves the company's core asset in the renowned lithium-rich region of Argentina, known for its high-quality brine deposits.

With the deal approved, management is now preparing the necessary applications to delist the company's shares from the TSX Venture Exchange and the OTCQB market. The completion of the sale will mark the end of Lithium South's tenure as a publicly traded entity.

Transaction Timeline and Financial Terms

The parties have set April 7, 2026, as the anticipated closing date for the asset sale. Upon completion, registered shareholders will receive a cash consideration of CAD $0.505 for each common share they hold.

Market reaction to the confirmed schedule has been positive. In recent trading, the equity advanced by more than 7%. The share price reached €0.29, trading just below its 52-week high of €0.30. Shareholders are advised that they will need to submit a letter of transmittal to the transfer agent to receive their payment.