Elementos Raises $29.5M at $0.34 per Share, L1 Capital Takes 20% Stake
Elementos Limited has raised $29.5 million through a strategic placement to L1 Capital, strengthening its financial position as it pushes forward with key tin projects in Spain and Tasmania.
- Strategic $29.5 million placement to L1 Capital at $0.34 per share
- L1 Capital to hold nearly 20% stake in Elementos post-placement
- Funds earmarked for Oropesa Tin Project, Iberian Smelting, and Cleveland Project
- Placement price reflects premium to prior raise and slight discount to recent share price
- Backing from L1 Capital and Metals X bolsters Elementos’ development pathway
Strategic Capital Injection
Elementos Limited (ASX, ELT) has secured a significant capital boost, raising approximately $29.5 million through a private placement to institutional investor L1 Capital. The placement, priced at $0.34 per share, will see L1 Capital acquire close to a 20% stake in the company, marking it as a major shareholder alongside Metals X. This injection of funds arrives at a pivotal moment as Elementos advances its flagship Oropesa Tin Project in Spain towards a Final Investment Decision (FID) and project financing.
Backing from a Global Investment Manager
L1 Capital, a global investment manager with offices spanning Melbourne, Sydney, Miami, and London, brings not only capital but also institutional credibility. Having recently merged with ASX-listed Platinum Asset Management to form L1 Group Limited, the firm’s involvement signals strong confidence in Elementos’ asset portfolio and strategic direction. Chairman Andy Greig highlighted L1 Capital’s investment as a testament to the milestones Elementos has achieved and the unique position it holds as a potential mine-to-metal tin supplier within the European Union.
Funding Multiple Growth Avenues
The capital raised will be directed towards several key initiatives, progressing the Oropesa Tin Project, investing in the Iberian Smelting Robledollano Tin Smelter, and continuing the assessment of the Cleveland Tin Project’s potential restart in Tasmania. These projects collectively position Elementos to address the looming global tin supply shortfall driven by rising demand from electrification, green energy, and lead-free solder applications.
Market Context and Share Price Dynamics
The placement price of $0.34 per share represents a 21.4% premium to the company’s 2025 capital raising price of $0.28, yet it is slightly discounted by 2.86% to the closing price prior to the announcement. This pricing strategy balances rewarding existing shareholders while attracting new institutional support. The placement is expected to settle around 19 February 2026, with approximately 86.8 million new shares to be issued under existing ASX placement capacities.
Looking Ahead
With a strengthened balance sheet and the endorsement of a second major institutional investor, Elementos is well-positioned to navigate the next phase of development. The company’s focus on environmentally conscious and safe mining practices, combined with its strategic assets in mining-friendly jurisdictions, underscores its potential to become a key player in the tin market. Investors will be watching closely as Elementos moves towards FID and detailed project financing discussions.
Bottom Line?
Elementos’ strategic placement with L1 Capital not only fortifies its financial footing but also signals growing institutional confidence as it advances critical tin projects.
Questions in the middle?
- How will L1 Capital’s involvement influence Elementos’ strategic decisions and project timelines?
- What are the detailed plans and timelines for the Oropesa Tin Project’s Final Investment Decision and financing?
- How might the market respond to the dilution effect of the new shares and the placement price?
