Li-FT Power Secures Azimut Stake to Cement Winsome Takeover
Li-FT Power has signed a definitive agreement to acquire Azimut Exploration's 50% interest in the Galinée lithium property, a key step enabling its planned acquisition of Winsome Resources. This deal strengthens Li-FT’s position in Quebec’s lithium sector ahead of upcoming shareholder votes.
- Li-FT to acquire Azimut’s 50% interest in Galinée property
- Consideration includes Li-FT shares, deferred payment, and NSR royalty
- Galinée property adjacent to Winsome’s flagship Adina lithium project
- Transaction is a condition precedent to Li-FT’s full acquisition of Winsome
- No new material exploration data disclosed beyond previous announcements
Strategic Asset Consolidation Advances
Li-FT Power Ltd. (TSXV: LIFT) has taken a decisive step towards consolidating its lithium portfolio in Quebec by signing a definitive project acquisition agreement with Azimut Exploration Inc. (TSXV: AZM) to acquire Azimut’s 50% interest in the Galinée property. This transaction is a critical condition for Li-FT’s binding scheme implementation deed to acquire 100% of Winsome Resources (ASX:WR1), positioning Li-FT to control a significant lithium footprint in a low-risk mining jurisdiction.
The Galinée property, known for its high-grade lithium-bearing pegmatites, lies adjacent to Winsome’s flagship Adina Lithium project, which boasts a substantial Mineral Resource of 78 million tonnes at 1.15% Li2O. Integrating Galinée enhances the combined lithium assets, potentially unlocking synergies in exploration and development efforts across the region.
Deal Terms and Considerations
Under the agreement, Azimut will receive 2 million common shares of Li-FT as upfront consideration, alongside a 1.4% net smelter return royalty (NSR) on the Galinée property. Deferred consideration of $1.5 million will be payable in cash or Li-FT shares upon completion of an economic study or after 18 months, offering flexibility but also potential dilution depending on Li-FT’s share price and capital strategy.
The transaction awaits customary closing conditions, including TSX Venture Exchange approval for the share issuance. Based on Li-FT’s closing price on 23 December 2025, the upfront consideration equates to approximately $10.3 million, underscoring the strategic value attributed to the Galinée asset.
Implications for the Lithium Sector in Quebec
This acquisition aligns with Li-FT’s strategy to focus on high-potential lithium assets while maintaining exposure through equity stakes and royalties. The Galinée property complements Winsome’s Adina project, which features a near-surface spodumene deposit with a projected 20-plus year mine life, offering investors a consolidated lithium play in a jurisdiction favoured for its regulatory stability.
As Li-FT advances the scheme to acquire Winsome, shareholders are preparing for key votes scheduled for early May 2026, following the dispatch of the scheme booklet detailing the proposed acquisition process. This follows a series of milestones, including Li-FT’s recent acquisition of additional stakes in the Galinée property, which collectively bolster the takeover bid’s foundation and value proposition for investors.
Notably, Winsome’s announcement confirms no new material exploration data has emerged since prior disclosures, maintaining the integrity of the existing resource estimates. Market participants will watch closely how forthcoming economic studies on Galinée influence valuation and development timelines.
The transaction also reflects broader consolidation trends in the lithium sector, where companies seek to build scale and resource depth amid evolving demand dynamics for battery metals. Li-FT’s move to secure Azimut’s interest ahead of completing the Winsome acquisition signals a commitment to strengthening its asset base in Quebec’s emerging lithium hub.
Bottom Line?
Li-FT’s acquisition of Azimut’s Galinée stake advances a pivotal lithium consolidation in Quebec, but investors should monitor regulatory approvals and deferred payment impacts closely.
Questions in the middle?
- How will the deferred consideration payment terms affect Li-FT’s capital structure and shareholder dilution?
- What economic study results on the Galinée property might shift project valuation or development plans?
- Will the upcoming shareholder votes on the Winsome scheme reflect confidence in Li-FT’s consolidation strategy?
