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The Markets
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The Markets
by Proactive
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Mining

Cobalt Holdings unveils plans for London float to give investors direct exposure to cobalt prices

Cobalt Holdings is preparing to list on the London Stock Exchange in June, aiming to raise $230 million in a move that would make it the first publicly traded company offering investors pure-play exposure to physical cobalt.

The company, which does not operate mines or explore for metals, plans to buy and hold cobalt long term, betting on rising demand for the metal used in electric vehicle batteries, electronics and energy storage.

The group has already secured cornerstone backing from Glencore and Anchorage, who will take a combined 20.5% stake.

A six-year supply deal with Glencore worth up to $1 billion ensures access to premium-grade cobalt at a discount to current spot prices.

Led by Jake Greenberg, a co-founder of uranium specialist Yellow Cake, Cobalt believes a current oversupply in the market presents a rare buying opportunity.

Its model is deliberately lean, with logistics, storage and sourcing outsourced to reduce costs and maximise returns.

If successful, the IPO will give institutional and retail investors a new way to gain exposure to a key energy transition material without the risks tied to mining operations.

No details on valuation were provided.

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