TMC the Metals Company Inc. (Nasdaq: TMC) announced a significant strategic investment from Korea Zinc, valued at roughly $85.2 million. This investment is focused on the acquisition of 19.6 million common shares priced at $4.34 each, along with a three-year warrant for an additional 6.9 million shares at an exercise price of $7.00 per share, pending certain market conditions. The deal is expected to finalize on June 26, 2025, provided it meets customary closing conditions.
This partnership positions Korea Zinc as one of TMC’s largest stakeholders, granting them approximately 5% ownership in the company. TMC aims to redefine the sourcing of critical minerals in the U.S. for industries related to energy, defense, and manufacturing through this investment. The company’s Chairman and CEO, Gerard Barron, expressed enthusiasm for welcoming Korea Zinc, highlighting the potential for both companies to create a secure and sustainable supply chain for critical metals needed in the U.S., while circumventing reliance on Chinese sources.
Korea Zinc’s Chairman Yun B. Choi voiced optimism about the future of nickel and copper, underscoring their growth strategy, known as Troika Drive, which emphasizes renewable energy, battery materials, and resource recycling. Choi believes that this partnership will position both companies strategically in the U.S. market, particularly in critical minerals processing.
The collaboration comes at a time when TMC is advancing discussions with the National Oceanic and Atmospheric Administration (NOAA) regarding its commercial recovery permit application under U.S. law. TMC recently submitted the first application for such a permit, bolstered by President Trump’s executive order to expedite seabed mining operations.
Historically, TMC has focused on extracting metals from polymetallic nodules found on the ocean floor, aiming for a more sustainable approach to metal supply. With Korea Zinc’s robust refining capabilities and expertise, this partnership could enhance TMC’s capability to deliver essential metals while meeting growing U.S. consumption demands.
Looking ahead, TMC anticipates revealing a pre-feasibility study (PFS) in the third quarter of 2025, further outlining its operational plans and strategies for sustainable metal sourcing.
This investment is a promising step not only for TMC and Korea Zinc, but also for the larger objective of achieving a resilient and independent supply chain of critical minerals in the United States.