REG - Sovereign Metals Ltd - Rio Tinto Shareholding and Issue of Shares

Sovereign MetalsAnnouncement

13/09/2024 07:00

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RNS Number : 0625E  Sovereign Metals Limited  13 September 2024

 

 

NEWS RELEASE I 13 SEPTEMBER 2024

 

ISSUE OF SHARES

Sovereign Metals Limited (ASX: SVM, AIM: SVML, OTCQX: SVMLF) (Sovereign or the
Company) advises that it has issued 2,326,880 fully paid ordinary shares
(Shares) in the capital of the Company, comprising of 1,290,392 Shares issued
to Rio Tinto Mining and Exploration Limited (Rio Tinto) and 1,036,488 Shares
issued to SCP Resource Finance,  as an advisory fee of 3% on the amount of
Rio Tinto's option investment in July 2024 (refer to Company announcement on 3
July 2024).

An application will be made for the Shares to be admitted to trading on AIM
(Admission) and it is expected that Admission will become effective on or
around 19 September 2024.

RIO TINTO INCREASES ITS SHAREHOLDING TO 19.9%

Following the exercise of its unlisted options on 3 July 2024, Rio Tinto has
made an additional investment of A$690,360 in Sovereign through the issue of
1,290,392 Shares (Additional Shares) pursuant to Rio Tinto's first right of
refusal on equity issues. This is in accordance with the Investment Agreement
between Rio Tinto and the Company dated 16 July 2023. Following the issue of
Additional Shares today, Rio Tinto has increased its shareholding in Sovereign
to 19.9%.

Total Voting Rights

 

For the purposes of the Financial Conduct Authority's Disclosure Guidance and
Transparency Rules (DTRs), following Admission of the Shares, Sovereign will
have 599,879,879 Ordinary Shares in issue with voting rights attached. The
figure of 599,879,879 may be used by shareholders in the Company as the
denominator for the calculations by which they will determine if they are
required to notify their interest in, or a change to their interest in the
Company, under the ASX Listing Rules or the DTRs.

Following the issue of Shares, Sovereign has the following securities on
issue:

·      599,879,879 fully paid ordinary shares;

·      9,460,000 unlisted performance rights subject to the "Definitive
Feasibility Study Milestone" expiring on or before 31 October 2025;

·      3,600,000 unlisted performance rights subject to the "Grant of a
Mining Licence Milestone" expiring on or before 31 March 2026; and

·      4,800,000 unlisted performance rights subject to the "Final
Investment Decision Milestone" expiring on or before 30 June 2026.

Classification: 2.5 Total number of voting rights and capital

ENQUIRIES

 

 Dylan Browne

Company Secretary

 +61(8) 9322 6322

 

 Nominated Adviser on AIM and Joint Broker
 SP Angel Corporate Finance LLP             +44 20 3470 0470
 Ewan Leggat

 Charlie Bouverat

 Joint Brokers
 Stifel                                     +44 20 7710 7600
 Varun Talwar
 Ashton Clanfield

 Berenberg                                  +44 20 3207 7800
 Matthew Armitt
 Jennifer Lee

 Buchanan                                   + 44 20 7466 5000

 

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