Altamin’s $6.46M Entitlement Offer at 30% Discount to Fund Lazio and Gorno Developments

Capital Raising Overview

Altamin Limited (ASX, AZI), an Australian-listed company focused on critical and base metals projects in Italy, has launched a pro rata accelerated non-renounceable entitlement offer to raise up to approximately AUD 6.46 million. The offer involves issuing up to 258.5 million new shares at an offer price of $0.025 each, representing a 30.6% discount to the last traded price on 19 September 2025. This capital raising is split between institutional and retail shareholders, with strong backing from the company’s majority shareholder, the Victor Smorgon Group.

Strategic Use of Funds

The proceeds from the entitlement offer will primarily fund exploration and development activities at Altamin’s two flagship projects in Italy, the Lazio geothermal brine project and the Gorno underground polymetallic mine. The Lazio Project hosts a JORC-compliant resource rich in sulphate of potash (SOP), lithium, and boron, leveraging historical drilling data and pilot plant testing to de-risk development. The Gorno Project contains high-grade zinc, lead, and silver mineralisation, with ongoing definitive feasibility studies and permitting work underway.

Altamin plans to apply the funds to advance technical studies, environmental impact assessments, and community engagement, aiming to progress the Lazio Project towards a scoping study and eventual permitting. Meanwhile, the Gorno Project is subject to a strategic sale or joint venture process managed by London-based Argent Partners, reflecting the company’s intent to realise value through a commercial transaction or, alternatively, to advance permitting and feasibility studies if a sale does not materialise.

Shareholder Support and Capital Structure

The Victor Smorgon Group, currently holding 53.02% voting power in Altamin, has committed to fully subscribe for its entitlement, injecting approximately $3.43 million into the raise. Depending on retail take-up and shortfall placements, the Group’s voting power could increase up to 62.07%. The entitlement offer is non-renounceable, meaning shareholders cannot trade their rights, and the issue of new shares will dilute existing holdings by up to 45% if fully subscribed.

Altamin’s cash position as of 31 August 2025 stood at $0.744 million, with funds expected to be exhausted by the end of September. The capital raising is therefore critical to maintaining the company’s going concern status and funding near-term operational and development activities.

Experienced Leadership and Project Potential

Altamin’s management team brings deep expertise in mining, finance, and project development, with a strong track record in critical minerals and base metals sectors. The company emphasises its strategic positioning within Italy and the European Union, aligning with regional priorities for critical raw materials supply, especially lithium and potash for sustainable agriculture and energy storage.

The Lazio Project’s geothermal brine resource is notable for its scale and high-grade mineral content, with environmentally conscious extraction methods planned, including brine re-injection and utilisation of geothermal heat. The Gorno Project benefits from existing underground infrastructure and community support, offering a relatively low-impact pathway to production.

Risks and Market Considerations

Altamin’s announcement candidly outlines key risks, including the non-underwritten nature of the entitlement offer, potential dilution, regulatory and permitting uncertainties, and the inherent challenges of advancing mining projects in Italy. The success of the Gorno Project sale process remains uncertain, and further funding may be required beyond this raise to fully realise project potential. Market volatility, commodity price fluctuations, and geopolitical factors also pose ongoing risks.

Investors should weigh these factors carefully, noting that while the company’s projects align with critical mineral demand trends, execution risks and funding needs remain significant considerations.