How Will Amari’s $15m Investment Transform Metro Performance Glass?
Metro Performance Glass has locked in a minimum $15 million capital raise and a new three-year loan facility, positioning itself for growth with Amari Metals Australia set to become the majority shareholder.
- Minimum $15 million equity raise via rights issue and placement
- Amari Metals Australia to hold 51% post-raise
- New three-year loan facility secured on existing terms
- Board changes include appointment of Amari nominee Stephen Robertson
- Shareholder approval expected in late August 2025
Capital Raise and Strategic Investment
Metro Performance Glass has announced binding conditional agreements to raise a minimum of $15 million through a combination of a renounceable rights issue and a placement to new investors, including a cornerstone stake by Amari Metals Australia Pty Ltd. The rights issue is set at $9 million with an oversubscription facility, while the placement to Amari will be at least $6 million, ensuring Amari holds a controlling 51% stake upon completion.
Loan Facility and Financial Flexibility
Alongside the equity raise, Metro has secured a new three-year loan facility with one of its existing banking syndicate members, maintaining current pricing and terms. The company has also extended its current facilities to 30 September 2025 to facilitate the completion of these transactions. This financial restructuring aims to provide Metro with the capital and flexibility needed to execute its growth plans over the coming years.
Governance and Board Changes
Following the capital raise, Amari will gain significant influence on Metro’s board. Stephen Robertson, a seasoned executive with over 30 years in distribution and manufacturing across New Zealand and Australia, will join as a non-independent director and stand for re-election at the next annual meeting. The board may also appoint a second Amari nominee if Amari’s shareholding remains above 40%, signaling a deeper strategic partnership.
Shareholder Approval and Next Steps
The completion of the capital raise and loan facility remains subject to customary conditions, including shareholder approval expected at a meeting in late August 2025. Metro has engaged Grant Samuel as an independent advisor to assess the fairness and merits of the transactions. Comprehensive offer and meeting documentation will be distributed to shareholders in early August, setting the stage for a pivotal vote on the company’s future direction.
Outlook and Market Position
Executive Director Simon Bennett, who is also investing alongside Amari, expressed confidence that the recapitalisation will enhance Metro’s ability to deliver quality products and services while strengthening its market position. The infusion of capital and strategic partnership with Amari is expected to accelerate Metro’s operational capabilities and shareholder returns, marking a significant step in the company’s evolution.
Bottom Line?
Metro’s recapitalisation with Amari’s majority stake sets the stage for a transformative phase, pending shareholder endorsement.
Questions in the middle?
- What will be the final amount raised between the $15 million and $24 million range?
- How will Amari’s majority ownership influence Metro’s strategic decisions long term?
- What operational changes can shareholders expect following the board appointments?
