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Almonty Receives Firm Commitments Under a Proposed Equity Placement

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Almonty Industries (TSX: AII / ASX: AII / OTCQX: ALMTF) has secured firm commitments to raise A$5.95 million through a combined offering of 2.0 million Canadian units at C$0.82 per unit and 4.56 million Placement Chess Depository Interests (CDIs) Units at A$0.90 per CDI Unit. Each participant will receive one warrant per common share and one free unlisted option per CDI, exercisable at C$1.14 and A$1.25 respectively, with a three-year expiry. The funds will be used for balance sheet restructuring and offer costs. Settlement is expected around December 30, 2024, subject to TSX and ASX approval. RM Corporate Finance will manage the placement for a fee of A$85,500.

Almonty Industries (TSX: AII / ASX: AII / OTCQX: ALMTF) ha ottenuto impegni solidi per raccogliere A$5,95 milioni attraverso un'offerta combinata di 2,0 milioni di unità canadesi a C$0,82 ciascuna e 4,56 milioni di Chess Depository Interests (CDIs) a A$0,90 per unità CDI. Ogni partecipante riceverà un warrant per ogni azione comune e un'opzione gratuita non quotata per ogni CDI, esercitabile a C$1,14 e A$1,25 rispettivamente, con una scadenza di tre anni. I fondi saranno utilizzati per la ristrutturazione del bilancio e i costi dell'offerta. La liquidazione è prevista per il 30 dicembre 2024, soggetta all'approvazione di TSX e ASX. RM Corporate Finance gestirà la collocazione per una commissione di A$85.500.

Almonty Industries (TSX: AII / ASX: AII / OTCQX: ALMTF) ha asegurado compromisos firmes para recaudar A$5.95 millones a través de una oferta combinada de 2.0 millones de unidades canadienses a C$0.82 por unidad y 4.56 millones de Intereses de Depósito Chess (CDIs) a A$0.90 por unidad CDI. Cada participante recibirá un warrant por acción común y una opción gratuita no cotizada por CDI, que se podrá ejercer a C$1.14 y A$1.25 respectivamente, con un vencimiento de tres años. Los fondos se utilizarán para la reestructuración del balance y los costos de la ofrecimiento. Se espera que el acuerdo se realice alrededor del 30 de diciembre de 2024, sujeto a la aprobación de TSX y ASX. RM Corporate Finance gestionará la colocación por una tarifa de A$85,500.

Almonty Industries (TSX: AII / ASX: AII / OTCQX: ALMTF)는 A$5.95백만을 모으기 위해 두 가지의 결합된 제안을 통해 확정적인 약속을 받았습니다. 캐나다 유닛 200만 개를 C$0.82에, 채스 예탁 이익(CDI) 456만 개를 A$0.90에 제공합니다. 각 참여자는 보통주 한 주당 하나의 워런트와 CDI당 하나의 무료 비상장 옵션을 받게 되며, 각각 C$1.14 및 A$1.25에 행사할 수 있고, 만료 기간은 3년입니다. 자금은 재무제표 구조조정 및 제안 비용에 사용될 것입니다. 결제는 TSX 및 ASX 승인에 따라 2024년 12월 30일경에 예상됩니다. RM Corporate Finance는 A$85,500의 수수료로 배치를 관리할 것입니다.

Almonty Industries (TSX: AII / ASX: AII / OTCQX: ALMTF) a obtenu des engagements fermes pour lever A$5,95 millions grâce à une offre combinée de 2,0 millions d'unités canadiennes à C$0,82 chacune et de 4,56 millions d'Intérêts de Dépôt Chess (CDIs) à A$0,90 par unité CDI. Chaque participant recevra un warrant par action ordinaire et une option gratuite non cotée par CDI, exerçable à C$1,14 et A$1,25 respectivement, avec une expiration de trois ans. Les fonds seront utilisés pour la restructuration du bilan et les coûts de l'offre. Le règlement est prévu autour du 30 décembre 2024, sous réserve de l'approbation de TSX et ASX. RM Corporate Finance gérera le placement pour un frais de A$85,500.

Almonty Industries (TSX: AII / ASX: AII / OTCQX: ALMTF) hat verbindliche Zusagen erhalten, um A$5,95 Millionen durch ein kombiniertes Angebot von 2,0 Millionen kanadischen Einheiten zu je C$0,82 und 4,56 Millionen Chess Depository Interests (CDIs) Einheiten zu je A$0,90 zu sammeln. Jeder Teilnehmer erhält ein Warrant pro Stammaktie und eine kostenlose nicht notierte Option pro CDI, die zu C$1,14 und A$1,25 jeweils ausübbar ist, mit einer Laufzeit von drei Jahren. Die Mittel werden für die Umstrukturierung der Bilanz und die Kosten des Angebots verwendet. Die Abwicklung wird voraussichtlich um den 30. Dezember 2024 erfolgen, vorbehaltlich der Genehmigung von TSX und ASX. RM Corporate Finance wird die Platzierung gegen eine Gebühr von A$85.500 verwalten.

Positive
  • Secured A$5.95 million in firm funding commitments
  • Three-year warrants and options provide potential future upside for investors
Negative
  • Dilution of existing shareholders through new share issuance
  • Funds primarily used for balance sheet restructuring rather than growth initiatives

TORONTO--(BUSINESS WIRE)-- Almonty Industries Inc. (“Almonty” or the “Company”) (TSX: AII / ASX: AII / OTCQX: ALMTF / Frankfurt: ALI) is pleased to announce that the Company has received firm commitments to raise gross proceeds of the equivalent of A$5.95 million via the issuance of 2.0 million Canadian units and 4.56 million Placement Chess Depository Interests Units (“CDIs”) at C$0.82 per Canadian unit and A$0.90 per CDI Unit (“Placement”), respectively.

Each Canadian unit and CDI Placement Unit participant will be issued with one warrant for every common share issued and one free unlisted option for every one CDI issued, exercisable at C$1.14 and A$1.25, respectively, with an expiry date of three years from the date of closing (“Options”).

Proceeds from the Placement will be applied towards restructuring the Company’s balance sheet and towards offer costs.

The Canadian units and Placement CDI units are expected to settle on or about 30 December 2024. The Canadian Units and CDI Placement Units issued will rank equally with existing CDIs and Common Shares on issue.

The closing of the Placement is subject to receipt of all necessary regulatory approvals, including the acceptance by the TSX and ASX.

RM Corporate Finance Pty Ltd will act as Lead Manager to the Placement and will be paid a total fee of A$85,500.

About Almonty

The principal business of Toronto, Canada-based Almonty Industries Inc. is the mining, processing and shipping of tungsten concentrate from its Los Santos Mine in western Spain and its Panasqueira mine in Portugal as well as the development of its Sangdong tungsten mine in Gangwon Province, South Korea and the development of the Valtreixal tin/tungsten project in northwestern Spain. The Los Santos Mine was acquired by Almonty in September 2011 and is located approximately 50 kilometres from Salamanca in western Spain and produces tungsten concentrate. The Panasqueira mine, which has been in production since 1896, is located approximately 260 kilometres northeast of Lisbon, Portugal, was acquired in January 2016 and produces tungsten concentrate. The Sangdong mine, which was historically one of the largest tungsten mines in the world and one of the few long-life, high-grade tungsten deposits outside of China, was acquired in September 2015 through the acquisition of a 100% interest in Woulfe Mining Corp. Almonty owns 100% of the Valtreixal tin-tungsten project in north- western Spain. Further information about Almonty’s activities may be found at www.almonty.com and under Almonty’s profile at www.sedar.com.

Legal Notice

The release, publication, or distribution of this announcement in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this announcement is released, published, or distributed should inform themselves about and observe such restrictions.

Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.

Disclaimer for Forward-Looking Information

When used in this press release, the words “estimate”, “project”, “belief”, “anticipate”, “intend”, “expect”, “plan”, “predict”, “may” or “should” and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. These statements and information are based on management’s beliefs, estimates and opinions on the date that statements are made and reflect Almonty’s current expectations.

Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Almonty to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: any specific risks relating to fluctuations in the price of ammonium para tungstate (“APT”) from which the sale price of Almonty’s tungsten concentrate is derived, actual results of mining and exploration activities, environmental, economic and political risks of the jurisdictions in which Almonty’s operations are located and changes in project parameters as plans continue to be refined, forecasts and assessments relating to Almonty’s business, credit and liquidity risks, hedging risk, competition in the mining industry, risks related to the market price of Almonty’s shares, the ability of Almonty to retain key management employees or procure the services of skilled and experienced personnel, risks related to claims and legal proceedings against Almonty and any of its operating mines, risks relating to unknown defects and impairments, risks related to the adequacy of internal control over financial reporting, risks related to governmental regulations, including environmental regulations, risks related to international operations of Almonty, risks relating to exploration, development and operations at Almonty’s tungsten mines, the ability of Almonty to obtain and maintain necessary permits, the ability of Almonty to comply with applicable laws, regulations and permitting requirements, lack of suitable infrastructure and employees to support Almonty’s mining operations, uncertainty in the accuracy of mineral reserves and mineral resources estimates, production estimates from Almonty’s mining operations, inability to replace and expand mineral reserves, uncertainties related to title and indigenous rights with respect to mineral properties owned directly or indirectly by Almonty, the ability of Almonty to obtain adequate financing, the ability of Almonty to complete permitting, construction, development and expansion, challenges related to global financial conditions, risks related to future sales or issuance of equity securities, differences in the interpretation or application of tax laws and regulations or accounting policies and rules and acceptance of the TSX of the listing of Almonty shares on the TSX.

Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to, no material adverse change in the market price of ammonium para tungstate (APT), the continuing ability to fund or obtain funding for outstanding commitments, expectations regarding the resolution of legal and tax matters, no negative change to applicable laws, the ability to secure local contractors, employees and assistance as and when required and on reasonable terms, and such other assumptions and factors as are set out herein. Although Almonty has attempted to identify important factors that could cause actual results, level of activity, performance or achievements to differ materially from those contained in forward-looking statements, there may be other factors that cause results, level of activity, performance or achievements not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate and even if events or results described in the forward-looking statements are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, Almonty. Accordingly, readers should not place undue reliance on forward-looking statements and are cautioned that actual outcomes may vary.

Investors are cautioned against attributing undue certainty to forward-looking statements. Almonty cautions that the foregoing list of material factors is not exhaustive. When relying on Almonty’s forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events.

Almonty has also assumed that material factors will not cause any forward-looking statements and information to differ materially from actual results or events. However, the list of these factors is not exhaustive and is subject to change and there can be no assurance that such assumptions will reflect the actual outcome of such items or factors.

THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS PRESS RELEASE REPRESENTS THE EXPECTATIONS OF ALMONTY AS OF THE DATE OF THIS PRESS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD- LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE ALMONTY MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.

For further information, please contact:

Lewis Black

Chairman, President and CEO

Telephone: +1 647 438-9766

Email: info@almonty.com

Source: Almonty Industries Inc.

FAQ

How much is Almonty Industries (ALMTF) raising in its latest equity placement?

Almonty Industries is raising A$5.95 million through a combination of Canadian units and CDI Units.

What is the pricing structure for Almonty's (ALMTF) 2024 equity placement?

The placement offers Canadian units at C$0.82 per unit and CDI Units at A$0.90 per unit.

When will Almonty's (ALMTF) 2024 equity placement settle?

The placement is expected to settle on or about December 30, 2024.

What are the warrant and option terms in Almonty's (ALMTF) 2024 placement?

Each participant receives one warrant per common share (exercisable at C$1.14) and one free unlisted option per CDI (exercisable at A$1.25), both with three-year expiry terms.

How will Almonty (ALMTF) use the proceeds from its 2024 equity placement?

The proceeds will be used for restructuring the company's balance sheet and towards offer costs.

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