Lithium-cobalt explorer MetalsTech Ltd. said Feb. 5 that Dynavolt Renewable Energy Technology Co. Ltd. would no longer subscribe to a A$3 million financing.
MetalsTech said Dynavolt in a Feb. 1 letter informed it that after due diligence the company had decided the investment did not meet its development strategy.
MetalsTech described Dynavolt's move as a default of a binding agreement and said it was seeking legal advice. It also said the binding agreement was subject to legal, financial, title and regulatory due diligence and that it has not received a "clear answer" from Dynavolt about what specific due diligence matters were not satisfied.
The Dynavolt financing was announced in December 2017.
Meanwhile, MetalsTech said a A$1.8 million financing with Wuxi Baichuan Chemical Industrial Co. Ltd. is "progressing well," with the regulatory approval process underway in China.
