ASM share price soars over 120pc on takeover bid, refinery in doubt

The American company behind a $530 million takeover of rare earths aspirant Australian Strategic Materials says it may drop the target’s plan to build a $740 million refinery in regional NSW if its bid is successful.

Colorado-based Energy Fuels has won support from directors of ASM for the takeover, which would give the American company control of ASM’s undeveloped mine near Dubbo and its factory in South Korea, which turns refined rare earths into metal. Shares in ASM surged 120 per cent to $1.59 after the takeover announcement.