Exclusive -Tactical Resources files statement with SEC on planned listing via SPAC
Author: Scott Kanowsky
Published 2024-10-29, 09:04 a/m
Investing.com — Rare earth elements miner Tactical Resources Corp (TSXV:RARE) has announced that it has registered a regulatory filing regarding its planned listing on the Nasdaq stock market through a merger with a blank-check firm.
In a statement on Tuesday, Vancouver-based Tactical Resources called the filing with the Securities and Exchange Commission an “important step” in the company’s proposed flotation via a tie-up with the special purpose acquisition vehicle Plum Acquisition III Corp (NASDAQ:PLMJ).
Tactical Resources — a mineral explorer founded in 2018 that is focused on US-made rare earth elements used in semiconductors, electric vehicles, advanced robotics and in the defense sector — previously said the combination would help it produce the critical materials needed to develop these technologies.
In particular, Tactical Resources noted that proceeds from the move would help it finance plans to grow its operations at its flagship Peak Project mine located near El Paso, Texas. The group said it has exclusive access to the site and has an option to acquire the project area in the future, adding it believes Peak Project “will enable it to become a significant rare earth elements producer in the United States.”
The proposed combined business with Plum implies a pro forma enterprise value of $589 million, Tactical Resources said in August.
Several countries, including the US and Australia, have sought to expand their production of rare earth materials to counter China’s dominance in the sector. China is currently overseeing almost 70% of the world’s output of rare earth elements, according to Tactical Resources.
“Supported by the funds that the parties intend to raise in connection with the Business Combination, along with the added exposure to key investors that we anticipate to garner from the Business Combination, we expect to be well positioned to address a critical need in the rare earth element supply chain in the West,” said Tactical Resources Chief Executive Officer Ranjeet Sundher in a statement.
