The Allkem Ltd (ASX: AKE) share price is down 1.46% on Tuesday morning to $14.85 amid the ASX lithium company releasing an update.
The weakness in the Allkem share price is likely related to the poor performance of lithium shares on Wall Street over the past two sessions.
This includes Allkem's United States merger partner, Livent Corp (NYSE: LTHM).
The Livent share price has tumbled 9.86% over the past two trading sessions to US$24.95.
This pushed the Allkem share price down 5.71% yesterday, as my Fool colleague James covered.
Allkem released a positive update on its proposed merger with Livent yesterday.
But let's move on to today's news.
Image source: Getty Images
What did Allkem announce on Tuesday?
Allkem has announced the signing of a project financing facility with the International Finance Corporation (IFC) for stage one of its Sal de Vida Project in Argentina.
The facility will provide up to US$130 million over a 10-year period. It consists of an A loan of up to $100 million and a B loan of up to $30 million.
The facility is "a green and sustainability-linked loan" in line with IFC's globally recognised environmental and social performance requirements.
Allkem says this provides "recognition and validation of the high ESG standards already adopted at Sal de Vida by Allkem".
Allkem says it is in discussions with another lender to increase the project finance facility by a further $50 million.
How are the merger plans progressing?
According to yesterday's release, the merger plans are progressing well.
Allkem and Livent have lodged antitrust/competition and investment screening/foreign investment regime notifications in all required jurisdictions.
In addition, the scheme booklet for Allkem shareholders is in progress.
Allkem recently appointed Kroll Australia to provide shareholders with the required independent expert opinion as to whether the deal is in their best interests.
The companies hope to complete their merger by the end of 2023.
Allkem share price snapshot
The Allkem share price is up 36% in 2023 and up 47% over the past 12 months.
