Mkango Unveils Major Merger with Crown PropTech for Rare Earths Expansion

Aim- and TSX-listed Mkango Resources has announced a planned merger between its subsidiary, Lancaster Exploration, and US-listed special purpose acquisition company Crown PropTech Acquisitions. The merged entity, to be named Mkango Rare Earths (MKAR), will be listed on the Nasdaq. This strategic move aims to establish a fully integrated rare earths company, leveraging Mkango's Songwe Hill mining project in Malawi and its Pulawy processing facility in Poland. Focused on sustainably sourced rare earths for global markets, the merger is not inclusive of Mkango's recycling operations in the US and Europe. Expected to position Mkango as a prominent player in the rare earth supply chain, and aligned with Crown's values, the deal targets expansion and innovation. The merger's completion is projected for the year's fourth quarter pending several approvals, with a shareholder meeting set to decide on the transaction. Upon closing, Mkango anticipates retaining a majority stake valued around $400-million, while Crown PropTech invests $750,000 to fund related costs. Historical achievements include a mining agreement with Malawi and strategic project status under the EU's Critical Raw Materials Act, poised to expedite funding and approval processes.