Results of Non-Renounceable Entitlement Offer

NOT FOR RELEASE TO US WIRE SERVICES OR DISTRIBUTION IN THE UNITED STATES

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS DEFINED IN ARTICLE 7 OF THE UK VERSION OF THE MARKET ABUSE REGULATION NO. 596/2014 (MAR), WHICH IS PART OF ENGLISH LAW BY VIRTUE OF EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED. UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

13 December 2023

Neometals Ltd

("Neometals" or "the Company")

Results of Non-Renounceable Entitlement Offer and Shortfall Notice

Innovative battery materials recycler, Neometals Ltd (ASX: NMT & AIM: NMT), advises that Neometal's non-renounceable pro-rata entitlement offer announced on the ASX on 21 November 2023 ("Entitlement Offer") of new fully paid ordinary shares in NMT ("New Shares"), closed on 8 December 2023. Capitalised terms not defined in this announcement have the meaning given to them in the offer booklet released on the ASX by NMT on 29 November 2023 in relation to the Entitlement Offer ("Offer Booklet"). 

Neometals received applications from Eligible Shareholders under the Entitlement Offer for 11,390,238 New Shares at the issue price of A$0.19 per New Share ("Offer Price"), representing an approximate 16.5% take up. Eligible Shareholders were also offered the opportunity to apply for additional New Shares in excess of their Entitlement, at the Offer Price under the Top Up Facility. When combined with the Top Up Facility, valid applications from Eligible Shareholders in respect of the Entitlement Offer were approximately A$3.1 million. New Shares under the Entitlement Offer are expected to be issued on 15 December 2023, with the normal trading of those New Shares expected to begin on 18 December 2023. The Entitlement Offer closed at 5pm (Perth, Aus) on Friday, 8 December 2023.

Under the terms of the Company's placement capacity pursuant to ASX Listing Rules 7.1 and 7.1A, Neometals reserves the right to place any Shortfall Shares at its discretion (including in conjunction with the Lead Manager) but has made no decision to do so at this stage. Any Shortfall must be issued within three months after the Closing Date and at a price per New Share that is not less than the Offer Price. Shortfall Shares will not be allocated or issued where NMT considers that to do so would result in a breach of the Corporations Act, the Listing Rules or any other relevant regulation or law.

Applications will be made to the ASX and the London Stock Exchange for the 16,508,108 New Shares to be issued under the Entitlement Offer to be admitted to trading on ASX and AIM. It is expected that admission to trading on ASX ("ASX Admission") of the 16,508,108 New Shares will commence on ASX and admission to trading on AIM ("UK Admission") (together with ASX Admission, "Admission") will become effective and that dealings in the relevant New Shares will commence on AIM on or around 8.00am (UK time) on Monday, 18 December 2023.

Following Admission of the New Shares to be issued under the Entitlement Offer, the total number of NMT ordinary shares on issue is expected to be 622,690,316.

Total funds raised

Together with the Placement to sophisticated, professional and other institutional investors that raised approximately A$9.0 million (refer ASX release 23 November 2023), the gross proceeds under the Placement and the Entitlement Offer (the Entitlement Offer and the Placement are together referred to as the Offer) are approximately A$12.1 million.

The proceeds from the Offer will be directed towards:

? activities at the Primobius LiB recycling development;

? lithium chemical research development activities;

? vanadium and titanium business units; and

? working capital, corporate and Offer costs.

For more information, please contact: