Australian company European Lithium Limited, listed on the Australian Stock Exchange (ASX) under the ticker symbol “EUR,” announced on Tuesday that it had entered into a binding agreement to acquire 100% of the shares of Velta Holding, an American titanium company that owns production and mining assets of the same name in Ukraine.
“Under the terms of the agreement, European Lithium will acquire 100% of Velta’s issued capital for a total consideration of approximately 173 million fully paid shares of European Lithium, subject to completion of due diligence and satisfaction of customary closing conditions,” the exchange announcement said.
According to ASX data, European Lithium shares fell 6.56% to AUD0.28 per share (about $0.19 per share) at the opening of trading on Tuesday. Once these conditions are met, the shares will be issued and transferred to Velta’s existing shareholders.
“The proposed agreement with European Lithium provides an opportunity to advance a number of development initiatives in Ukraine and the United States that the Group has been preparing over the past decade. These initiatives focus on both horizontal and vertical integration, supporting the transition from a raw material-based model to the production of titanium metal and other critical value-added materials,” said Andrey Brodsky, CEO of Velta Holding, in a statement.
According to ASX data, a total of 1 billion 734 million 351,762 thousand shares have been issued to date, and the company’s capitalization is approximately AUD529 million. European Lithium’s revenue in fiscal year 2025 (ended June 2025) increased to AUD1.13 million from AUD0.7 million in FY2024, while net loss decreased to AUD71.49 million from AUD194.93 million.
“The acquisition of Velta is an important step in expanding European Lithium’s access from lithium to critical and strategic minerals. Titanium is a key material used in the aerospace, defense, medical, and industrial sectors, and Velta’s asset base and technical capabilities provide the company with a platform for future growth,” explained Tony Sage, Executive Chairman of European Lithium, explaining the interest in the deal.
It is also noted that European Lithium is interested in developing an integrated production chain—from the extraction and processing of raw materials to the production of titanium metal powders and finished components, particularly for additive manufacturing, which supports higher margins and a more sustainable business model.
The release notes that despite the ongoing war in Ukraine, Velta Holding maintains support for its export markets and operational stability, but any further expansion of production capacity and investment programs will depend on the current security situation and the fulfillment of the terms of the proposed agreement.
Velta is a titanium company operating primarily in the Kirovograd region in central Ukraine. The group’s assets include ilmenite and titanium ore resources, associated processing facilities, proprietary technologies, and logistics aimed at supplying high-quality titanium materials to global markets. According to Velta Holding’s estimates, it occupies approximately 2% of the global titanium raw materials market.
The holding company is developing the Birzulovskoye deposit, where it launched an enrichment plant in 2012, and has a transshipment complex in neighboring Novomyrhorod, designed to handle approximately 300,000 tons of cargo per year. Velta’s assets also include the Likarovskoye deposit and the leased former Novomirgorodskaya brown coal mine with an area of 30 hectares, where processing facilities for the production of metallic zirconium and hafnium, metallic titanium and titanium products, as well as a transshipment complex with a capacity of more than 1.5 million tons per year.
In the fall of 2025, during a visit to the enterprise by representatives of the US International Development Finance Corporation (DFC) and the US-Ukraine Investment Fund, Velta presented various projects within the framework of building a CRM (Critical Raw Materials) cluster with a total investment of approximately $243 million over four years.
The ilmenite resources of the Birzulovsky deposit according to JORC standards amount to 2.06 million tons, while the Likarovsky deposit, for which JORC standards are currently being approved, has approximately 2.5-2.8 million tons. The deposit also contains 41,000 tons of zirconium, 15 million tons of kaolin, and 17 million tons of clay. Potential production is estimated at 280,000 tons of ilmenite, zirconium oxide – 500 tons, metallic zirconium and hafnium – 10 tons each, finished titanium products – about 30 tons, titanium powders – 1,200 tons, kaolin – 700,000 tons, and clay – 800,000 tons.
Velta Holding also includes the Velta RD Titan research and development center and Velta Medical, a manufacturer of custom titanium implants. The ultimate beneficiaries are Andrei Brodsky (60%), Vadim Moskalenko (20%), and Vitaly Malakhov (20%).
European Lithium Limited is an exploration and development stage mining company focused on lithium assets in Austria, Ukraine, and Ireland, as well as various assets in Australia and a rare earth metals project in Greenland. The release notes that European Lithium currently owns 44.982% of the common shares of US-based Critical Metals, which as of January 26, 2026, are valued at approximately $879.06 million.
At the end of last year, European Lithium’s subsidiary applied for a production sharing agreement on the Dobra lithium deposit in Ukraine, but lost.
