Billionaire Ken Griffin’s hedge fund, Citadel, has made a significant investment in NioCorp Developments Ltd (NB), a U.S. critical minerals company. This move highlights Griffin’s bullish outlook on the sector.
A Massive Stake in NioCorp
Citadel acquired 3,824,329 shares of NB, representing a substantial 5.4% of Citadel’s portfolio and 5.2% of NioCorp’s outstanding shares. This investment comes as NioCorp’s stock price has skyrocketed 124% this year, climbing from $1.41 in January to $3.16 currently. The company, with a market cap of just $229 million, is focused on developing rare earth minerals like niobium, scandium, and titanium from its flagship project in Nebraska.
Energy Sector Focus?
This investment seems to align with Citadel’s recent success in the energy sector. Citadel was part of a group that profited from Chevron’s acquisition of Hess Corporation, a merger arbitrage strategy involving significant investments in both companies. Bloomberg reports that Citadel and HBK Investments each held around $1 billion in shares related to this deal.
Disclaimer: This information is for general knowledge and shouldn’t be considered investment advice. Always do your own research before making any investment decisions.
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