In a $217 million merger, AVL has acquired 100 per cent of TMT shares on issues to consolidate a single Australian-focused vanadium company.

Under the agreement, TMT shareholders will receive 12.00 AVL shares for every TMT share held on the scheme record date. This implies an offer price of $0.324 per TMT share based on AVL’s last close price of $0.027.

“The combination of Australian Vanadium and Technology Metals Australia is transformational for both companies and marks a significant milestone in both management teams’ efforts to develop their respective projects,” AVL chief executive officer Graham Arvidson said.

“The logical consolidation of two adjoining projects on the same orebody will unlock material synergies for both sets of shareholders.

“If successful, the transaction will create the leading ASX listed vanadium developer and a world-class asset of scale located in a Tier-1 mining jurisdiction.”

TMT managing director Ian Prentice said the company is excited about the merger.