US DFC seeks equity stake in Syrah Resources for critical minerals push

March 26 (Reuters) - The U.S. International Development Finance Corporation (DFC) has proposed converting part of its loan into equity in Syrah Resources SYR.AX, paving the way for a strategic stake in the company behind a major Mozambique graphite mine and a U.S. battery materials plant.

The plan includes restructuring the remaining debt into a convertible loan note and injecting fresh capital to support operations at the Balama mine, with the funding expected to unlock more than five times that amount from private investors and strengthen Syrah's liquidity.

• The proposed deal would allow DFC to eventually convert all its outstanding debt into equity, making it a long-term shareholder in Syrah.

• Balama, one of the world's largest natural graphite deposits, is a key supplier to U.S. and allied markets.

• The transaction highlights Washington's push to secure critical minerals supply chains amid rising global competition.

• Syrah Resources also said it would raise about A$104 million ($72.2 million) to fund its graphite operations, including a cornerstone investment from AustralianSuper, the country's largest pension fund.