Crown PropTech Acquisitions and Mkango Announce Combination to Create Pure-Play Global Rare Earth Platform

Crown PropTech Acquisitions ("CPTK") has entered into a business combination agreement with Lancaster Exploration Limited (expected to be renamed Mkango Rare Earths Limited), owner of Mkango's Songwe Hill Rare Earths Project in Malawi and the Pulawy Rare Earth Separation Project in Poland, both designated as strategic projects under the EU Critical Raw Materials Act.

Mkango will apply for listing on Nasdaq with an aim to become a publicly traded company under the name Mkango Rare Earths Limited ("MKAR").

Orrick represented Crown PropTech Acquisitions.

THE COMPANIES

Crown PropTech Acquisitions is a Cayman Islands exempted company incorporated in 2021 as a special purpose acquisition company for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses, with approximately $5.67 million cash in trust.

Mkango's corporate strategy is to become a market leader in the production of recycled rare earth magnets, alloys and oxides, through its interest in Maginito Limited, and to develop new sustainable sources of neodymium, praseodymium, dysprosium and terbium to supply accelerating demand from electric vehicles, wind turbines and other clean energy technologies.

THE IMPACT

Transaction proceeds will support Mkango Rare Earths Limited's strategic growth plan, which includes development of Songwe Hill and Pulawy, which together comprise a vertically integrated, pure-play global rare earth platform, with the goal to provide a mined, refined and separated supply of rare earth oxides to supply chains across North America, Europe and Asia.

"We are excited to announce the signing of a transformative Business Combination Agreement with CPTK, which I believe marks a pivotal step towards unlocking substantial shareholder value. This transaction is expected to significantly accelerate the growth trajectory of the Mkango group and position us as a key player in the global rare earth supply chain, with a strong emphasis on sustainability and critical industry demand. Partnering with CPTK, an organization that shares our strategic vision and values, enhances our platform for scalable growth and innovation. As we move towards a Nasdaq listing, we believe this combination will catalyse new opportunities, broaden our investor base, and drive long-term value creation," said Alexander Lemon, President of Mkango.

"We are excited to continue progressing this transaction forward. Based on the significant milestones achieved to date, we believe MKAR is uniquely positioned to become an important provider of not only rare earth carbonates via its mining site in Malawi, Africa, but also a provider of rare earth oxides through its planned separation facility in Pulawy, Poland. This vertically integrated approach, we believe, will distinguish MKAR," said Michael Minnick, CEO of CPTK.

THE TEAM

Alice Hsu and Zac Padgett led the Orrick team that advised Crown PropTech Acquisitions. The team also included Brian Blood, Travis Cherry, Brittany Hicks, Kyle Holt, John Narducci, Jonathan Rosen, Steven Malvey, Andrew Allen, and Edward Dyson.

LEARN MORE

• Mkango's news release
• Read More Orrick Client Results