Lithium Americas Corp LAC

Price advancement

[oilinvestor2022]

Is it short covering, financing and any other speculation on what is going on behind the scenes?

[liljohnnyjoke]

it seemed like there was a price run up prior to the news to "sell the news" and now sp drifting back down. maybe holding SP down for a PP as well?

[Moemoney42]

Not that I can confirm this thought.. but maybe its a price adjustment for the next tranche of funds from GM..? I read somewhere that the price structure for the second tranche was up for renegotiation as the share price was much higher at the time of the deal.. if so.. once that second tranche is announced, I think we see a real rally in the stock price..?  Just a guess though..?   

[liljohnnyjoke]

or is it just a world lithium glut at prices that are down @ 80% from peak and not expected to recover anytime soon due to significant pullback in EV demand and production?

[marcrobert]

pullback in ev demand is all relative. you have to look at worldwide volumes not just US. I don't think europe demand is pulling back or most of asia and china penalizes ICEs.

[Moemoney42]

A couple of seeking alfa reports came out this afternoon stating the same thing I just posted today.. their reports talk of a funding shortfall from ~2.3 billion to ~2.9 billion and the dilution it will cause to existing shareholders and the fact that GM's second tranche will need to have better terms.. all fearmongering IMO.. LAC could sell a 10% interest in the project to another player to

[neosceptic]

2.3 Billion inclueds "capitlized interest over 3 years). the actual cash is 1.9B