Elementos Raises Up to $11.6M at $0.28 Per Share in Capital Boost

Capital Raise Overview

Elementos Limited (ASX – ELT) has announced a successful capital raising initiative designed to strengthen its financial position and accelerate development of its tin assets. The company will raise a minimum of $8.7 million, with the potential to reach $11.6 million, through a combination of a $6 million unconditional placement and a pro-rata non-renounceable entitlement offer priced at $0.28 per share.

The placement attracted commitments from both new and existing sophisticated investors, with Metals X Limited (ASX – MLX), Elementos’ largest shareholder, playing a pivotal role. Metals X has committed to its full entitlement of $0.5 million unconditionally and up to an additional $2.7 million conditionally, pending shareholder approval. This conditional placement is capped to ensure Metals X’s voting power does not exceed 19.99%.

Strengthening the Balance Sheet

Prior to the raise, Elementos held approximately $3.8 million in cash. The infusion of new capital will increase this to around $12.5 million, providing a robust financial foundation to advance the company’s strategic objectives. These funds will be directed towards critical milestones, including the final investment decision (FID) for the Oropesa Tin Project, progressing the Iberian Smelter Option, and advancing the Cleveland Tin and Tungsten Project through a scoping study.

Elementos’ management highlighted the importance of this capital raise in underpinning the company’s growth trajectory. Non-Executive Chair Andy Greig emphasized the market’s confidence in Elementos’ strategy to deliver new tin supply, which is increasingly vital given the metal’s role in electrification, green energy, and digital technologies.

Entitlement Offer Details and Timetable

The entitlement offer allows eligible shareholders in Australia and New Zealand to subscribe for one new share for every 30 shares held as of the record date, at the same issue price of $0.28. The offer is non-renounceable, meaning entitlements cannot be traded or transferred, and shareholders who do not participate will forfeit their entitlement value.

The timetable for the entitlement offer spans from early December to late December 2025, with key dates including the record date on 27 November, offer opening on 2 December, and closing on 17 December. The company reserves the right to alter these dates as necessary.

Looking Ahead

Shareholder approval will be sought in the coming month to finalize Metals X’s conditional placement. Meanwhile, BW Equities Pty Ltd has been appointed as lead manager for the placement and entitlement offer, ensuring a smooth execution process.

With this capital raise, Elementos is well-positioned to progress its world-class tin projects, which are strategically important given the forecasted global tin supply shortfall. The company’s focus on environmentally conscious development and strong management expertise further supports its potential to deliver long-term value to shareholders.