NH3 Clean Energy Issues 71.8 Million Shares After Shareholder Nod
NH3 Clean Energy Limited has completed a significant share placement and conversion, issuing over 71 million new shares following shareholder approval at its 2024 AGM.
- Issued 71.8 million new fully paid ordinary shares
- Includes 21.95 million Placement Shares and 49.87 million Conversion Shares
- Directors subscribed for 1.7 million shares, pending shareholder approval
- Total shares on issue now 636.4 million
- Shares issued under ASX Listing Rules 7.1 and 7.1A with cleansing notice
Share Issuance Completed
NH3 Clean Energy Limited has announced the completion of a substantial share issuance, comprising 71,817,413 fully paid ordinary shares. This includes 21,950,016 Placement Shares issued under the company's existing capacity and 49,867,397 Conversion Shares issued following shareholder approval at the 2024 Annual General Meeting held in November 2024.
Director Participation and Shareholder Approval
Notably, company directors have subscribed for 1,716,633 shares as part of the Placement, although this participation remains subject to approval at an upcoming shareholder meeting. This element introduces a degree of uncertainty regarding the final number of shares to be allotted to directors, which investors will be watching closely.
Impact on Capital Structure
Following this allotment, NH3 Clean Energy's total shares on issue have increased to 636,422,198. The issuance was conducted under ASX Listing Rules 7.1 and 7.1A, ensuring compliance with regulatory requirements. The company also issued a cleansing notice under section 708A(5)(e) of the Corporations Act 2001, confirming that no further disclosure was required for this share issue.
Context and Market Implications
This share issuance follows the company's earlier announcement on 30 June 2025 and reflects ongoing efforts to strengthen its capital base. While the announcement does not specify the use of proceeds, such capital raises typically aim to support operational growth, project development, or balance sheet strengthening in the clean energy sector.
Investors will be keen to see how NH3 Clean Energy deploys these funds and whether the dilution effect from the new shares impacts the stock's performance in the near term.
Bottom Line?
NH3 Clean Energy’s expanded capital base sets the stage for its next growth phase, but investor eyes remain on director approvals and fund deployment.
Questions in the middle?
- Will the upcoming shareholder meeting approve the directors’ participation shares?
- How does NH3 plan to utilise the capital raised from this placement and conversion?
- What impact will the increased share count have on earnings per share and investor returns?
