5E Advanced Materials wins bid for Searles Valley Minerals assets: $3.4M cash, 8.3M shares, $6.2M note

5E Advanced Materials, Inc.

• Consideration: ~$3.4M cash (less $300k deposit), 8.3M FEAM shares, ~$6.2M senior unsecured note at 14.5% PIK.
• Assets include Argus, Westend, Trona production facilities, ~9,000 acres Searles Lake brine, Trona Railway, water utilities.
• Conditions: Bankruptcy Court approval, STB authorization for railroad, and $10M bridge facility from Nirma Limited (8% PIK, 270-day maturity).
• Transformative: moves 5E from pre-revenue to operating borates producer; would be only American-owned US borate producer with ~200-year resource life.