Tartana Raises $2.05M in Financing, Convertible Notes at $0.10 Share Price
Tartana Minerals has secured an additional $0.5 million in non-dilutive financing with plans to refinance into convertible notes, pending shareholder approval at the upcoming AGM.
- Secured $0.5 million unsecured loan at 15% interest per annum
- Convertible notes convertible at $0.10 per share, maturing August 2027
- Total new financing of approximately $2.05 million to be approved at AGM
- AGM scheduled for 19 November 2025 in Sydney
- Loan lender introduced by company directors, no ASX 10.11 implications
Non-Dilutive Financing Boost
Tartana Minerals Limited (ASX, TAT) has announced it has secured a further $0.5 million in non-dilutive financing through an unsecured loan facility. The loan carries an interest rate of 15% per annum and is structured to potentially convert into convertible notes, subject to shareholder and regulatory approvals. This latest tranche adds to previously announced financing, bringing the total new capital sought to approximately $2.05 million.
Convertible Notes Terms and Conditions
The proposed convertible notes would convert at the holder's election into shares at a price of $0.10 each, with a maturity date set for 11 August 2027. Importantly, the loan itself is not convertible unless shareholders approve the refinancing into convertible notes at the upcoming Annual General Meeting (AGM). This structure allows Tartana to access capital without immediate dilution, while retaining flexibility to convert debt into equity if market conditions and shareholder sentiment align.
Upcoming Annual General Meeting
Tartana has confirmed its AGM will be held on 19 November 2025 at its Sydney offices. Shareholders will be asked to approve the refinancing of this loan and earlier financing transactions. The meeting also marks a key governance milestone, with director nominations closing on 1 October 2025. The AGM will provide investors with a clearer picture of Tartana's capital strategy and potential dilution risks.
Strategic Context
As a copper producer with existing heap leach and solvent extraction facilities in Far North Queensland, Tartana is positioning itself to advance its primary copper and zinc resources. The company’s diverse portfolio includes several exploration projects across multiple metals, underscoring its ambition to expand beyond current operations. Securing non-dilutive financing at a relatively high interest rate suggests a balancing act between accessing capital and managing shareholder dilution.
Looking Ahead
The lender for this facility was introduced by Tartana’s directors and is not subject to ASX Listing Rule 10.11, which often governs related party transactions. This detail may reassure investors about the arm’s-length nature of the deal. However, the ultimate impact on Tartana’s capital structure hinges on shareholder approval at the AGM, making the upcoming vote a critical event for the company’s financial trajectory.
Bottom Line?
Tartana’s financing strategy sets the stage for a pivotal AGM that could reshape its capital structure and growth prospects.
Questions in the middle?
- Will shareholders approve the refinancing into convertible notes at the AGM?
- How will the potential dilution impact Tartana’s share price and investor sentiment?
- What are the company’s plans for deploying the newly raised capital across its projects?
