Critical Metals(US:CRML) Hua Er Jie Jian Wen·2025-10-06 17:23Core Insights - The Trump administration was reportedly considering acquiring a stake in Critical Metals Corp., which is involved in Greenland's largest rare earth project, but this was denied by White House officials [1][3] - Following the denial, Critical Metals' stock experienced significant volatility, initially surging by 109% before stabilizing to a 40% increase [1] - Other rare earth companies showed mixed stock performance, with Ucore Rare Metals and NioCorp Development seeing gains, while USA Rare Earth experienced a brief decline before recovering [2] Company Developments - Critical Metals is in discussions to convert a $50 million defense production fund allocation into equity, potentially giving the U.S. government an 8% stake in the company [3] - The company had previously agreed to acquire the Tanbreez deposit in Greenland for $5 million in cash and $211 million in stock [3] - Critical Metals did not respond to requests for comments regarding the situation [4] Government Investment Strategy - The Trump administration has been actively pursuing equity investments in private companies, including a recent $400 million investment in MP Materials Corp., making it the largest shareholder with a 15% stake [5] - The government also secured a 10% stake in Intel through a $11 billion investment as part of the CHIPS Act [5] - The U.S. government plans to acquire a 5% stake in Lithium Americas Corp. related to its Thacker Pass lithium project [5]