European Lithium (EUR) has announced the sale of an additional 3.03 million shares of Critical Metals Corp (CRML) to a US institutional investor, generating around $50m (A$76m) in net proceeds.  

This off-market transaction involved shares priced at $16.50 each.  

Furthermore, CRML has finalised a private placement, raising an equivalent amount of $50m in equity funding. 

The company has outlined its intention to use these funds to develop the Tanbreez Rare Earth Project in Greenland. 

According to the securities purchase agreement, CRML will issue 1.47 million ordinary shares at a price of $16.50 per share, accumulating to the total purchase price of $50m.  

In addition, pre-funded warrants have been issued, which will allow for the acquisition of around 1.56 million additional shares. 

The shares and warrants distributed in this private placement come with resale registration rights.  

EUR executive chairman Tony Sage said: “The capital raising undertaken by CRML demonstrates continued investor confidence in the US markets in CRML as they continue to advance the strategic portfolio of critical mineral assets. We are receiving a lot of enquiries from EUR shareholders regarding the discrepancy between the EUR market capitalisation against its shareholding in CRML.  

“EUR currently holds 53,036,338 shares in CRML and using the US$22.72 closing price on the Nasdaq on 16 October 2025, values the company’s holding at approximately US$1.2bn (A$1.85bn), which equates to A$1.23 per EUR share, which is well above the current market capitalisation of EUR despite recent increases in the EUR share price. 

"We are aware of this discrepancy and continue to execute a range of strategic options aimed at better reflecting this intrinsic value. The company now has over $190m in cash reserves.” 

Last year, EUR closed a business partnership with Sizzle Acquisition, resulting in the creation of Critical Metals.