One of the world’s largest suppliers of lithium-ion batteries just made a big bet on a publicly traded nickel company in Canada. But, why?
What’s happening:
- Toronto based Canada Nickel Company (TSXV: CNC) has raised $18.5M USD in a new strategic round from Samsung SDI
By the numbers:
- This strategic investment from Samsung SDI comes after Canada Nickel just raised $34.7M CAD in a previous financing round
- Of the $34.7M CAD recently raised, Agnico Eagle (NYSE: AEM) led the round with $23.1M CAD to push their ownership of Canada Nickel to approximately 12%
- Aside from Samsung SDI’s strategic investment, they also have entered into an agreement with Canada Nickel to be able to purchase 10% of their flagship Crawford project for $100.5M USD upon a final construction decision
Why it matters:
- Samsung SDI is one of the world’s leading suppliers for lithium-ion batteries, so this investment is a notable sign of validation for the critical need to secure nickel supply in order to produce electric vehicle batteries at scale
The intrigue:
- Canada Nickel is aiming to be a leader in net zero emission nickel production by becoming one of Canada’s largest carbon storage facilities
