Lithium Argentina Secures $180M Ganfeng Convertible Note at 96% Premium; Finalizes PPG Joint Venture
LAR has more than doubled off its 52-week low of $2.97.
Summary
Lithium Argentina finalized its PPG joint venture with Ganfeng and secured a $180M convertible note at a 96% premium to market, with proceeds earmarked to repay its $259M debt due January 2027.
Key Events · Financing and Capital Events · LAR
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$180M Convertible Note from Ganfeng
Six-year unsecured note at 4.0% coupon, convertible at $12.50 per share — a 96% premium to the five-day VWAP ending August 21, 2026.
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Debt Repayment and Facility Termination
Proceeds plus cash on hand will fully repay the $259M convertible debt due January 2027; the existing $130M debt facility will be terminated, releasing security and preferential offtake rights.
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PPG Joint Venture Finalized
Definitive agreements consolidate Pozuelos-Pastos Grandes, Pastos Grandes, and Sal de la Puna into a single basin-wide development targeting 150,000 tpa LCE; Ganfeng holds 67%, Lithium Argentina 33%.
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Ownership Impact
Full conversion would add 14.4M shares, raising Ganfeng's stake from 9.6% to approximately 16.1% on a fully diluted basis, subject to a 19.99% conversion cap.
Analysis · LAR · Energy & Transportation
A $180 million strategic investment from long-time partner Ganfeng has been locked in by Lithium Argentina via a six-year unsecured convertible note carrying a 4.0% coupon and a $12.50 conversion price — a 96% premium to the five-day VWAP. The proceeds, combined with cash on hand, will fully repay the $259 million convertible debt due January 2027, removing a near-term maturity overhang and extending the debt profile on an unsecured basis. The concurrent PPG JV consolidation brings three adjacent Salta projects under one basin-wide development targeting 150,000 tpa of LCE, with Ganfeng taking 67% and Lithium Argentina 33%. The conversion price premium signals strong partner confidence and minimizes dilution: full conversion would add 14.4 million shares, lifting Ganfeng's stake from 9.6% to approximately 16.1% — well below the 19.99% cap. This is a balance-sheet strengthening event that also advances the company's growth pipeline, though the note remains subject to TSX and NYSE approvals and customary closing conditions.
How filings like this one have moved
In the 30 days to Aug 24, 2026, 37.5% of the 3362 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was 0.00%. These are measured outcomes after filings of this importance, not a forecast for this one.
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At the time of this filing, LAR was trading at $6.70 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $1.1B. The 52-week trading range was $2.97 to $12.05. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.