Lac and Macroeconomics.

Why do I think you should keep and supplement in Lac.

Over the next few years, is Lac one of the companies that will benefit from the current inflation and rent increase?

Lac is close to production and sales from CO. There have been approx. 90% of costs and Lac has the cash to complete the entire project. Therefore, an interest rate increase will not hit particularly hard, but inflation will give a much larger turnover and contribution margin. Raw materials will of course rise and so will Lithium, and the difference between cost and selling price will be greater. Likewise, the $ will remain very strong as it remains a safe haven during crises. The risk is that the management of Agentina wants a bigger piece of the pie.

For Tacker, production and sales are a bit out of date, and therefore you are much more affected by inflation here, and establishment costs will rise sharply, and so should interest expenses. However, I think that Lac has a huge advantage in the green profile which will attract cheap capital from the government, large investors and a cheap approach when expanding the share capital, so I am not worried.

Why then does Lac fall with the rest of the market?

All economic models say sell for this type of business. No revenue, only expenses, so if you haven't followed them and studied the business case thoroughly, you won't buy now, but wait and see the sales start.

In my view, it is a company that can go up between 5 and 10 times over the next 3 years, perhaps even more to a level we cannot imagine. This is based on a PE of 15, but we can easily see a PE of 30 and 50 if they associate a development company for a greener production of Lithium. It may well be that Tacker will be a little delayed, but I can live with that, because the upside is so much greater than the downside.

If anyone sees a risk, it would be great to get it.