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Nickel Industries Limited (ASX:NIC)

ALERT: Price-sensitive ASX Announcement for NIC
Current share price for NIC : $0.835 -0.135 (-13.92%)+
Announcement
Release
30 Jan 2026 9:24AM
Price at Release
$0.970
Full Release
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Summary
Nickel Industries Limited announced the completion of a strategic acquisition where Sphere Corp acquired a 10% equity interest in the Excelsior Nickel Cobalt HPAL project (ENC), reducing Shanghai Decent's shareholding while NIC increased its own stake to 46% by acquiring an additional 2%. The acquisition was made at a valuation of US$2.3 billion, with NIC making a final payment of US$46 million by March 31, 2026. This strategic move reduces NIC's cash outflows by US$207 million compared to previously planned payments. Additionally, NIC will provide a credit enhancement to Sphere's lenders, securing effective priority over Sphere's ENC stake. Sphere's investment underscores ENC’s potential and aligns shareholder interests, enhancing NIC’s financial flexibility. The company also secured a 15-year MOU to supply limonite ore to a nearby HPAL project, reinforcing the strategic value of its Sampala Project.
Key Points
  • Sphere Corp acquired a 10% stake in ENC.
  • NIC increased its stake in ENC to 46%.
  • NIC's final payment for ENC acquisition set at US$46 million.
  • Revised acquisition reduces NIC's expected cash outflows by US$207 million.
  • NIC provides credit enhancement for Sphere's acquisition loan.
  • Strategic alignment among ENC stakeholders is enhanced.
  • 15-year MOU for limonite ore supply to an adjacent HPAL project.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.