REG - Capital Metals PLC - Ambeon Option Extension, Share Options Grant & TVR

Capital MetalsAnnouncement

16/07/2025 09:00

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RNS Number : 2883R  Capital Metals PLC  16 July 2025

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK
VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF ENGLISH
LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL) ACT 2018, AS AMENDED. ON
PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS
INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

16 July 2025

Capital Metals PLC

("Capital Metals" or the "Company")

 

Extension of Ambeon Option,

Grant of Share Options, Issue of Fee Shares & Total Voting Rights

 

Capital Metals (AIM: CMET), a mineral sands company approaching mine
development stage at the high-grade Taprobane Minerals Project in Sri Lanka
(the "Project"), announces the following information.

 

Extension of Ambeon Option

Further to the 29 May 2025 announcement regarding Ambeon's strategic
investment of US$2 million into the Company, Capital Metals is in active
discussions with a number of Ambeon's strategic partners and the Board
believes that it is close to finalising agreements for the total amount of
US$2 million pursuant to the Ambeon Option agreement at an issue price of 2.75
pence per share.  Consequently, the parties have agreed to extend the option
period for a further 30 days to 11 August 2025 (the "Ambeon Option Extension")
to complete the subscription process and expect that this will be concluded
before the end of the 30 day period.  Firm commitments will be communicated
to the market as soon as they are signed.

Related Party Transaction

 

As Ambeon is a substantial shareholder in the Company (by virtue of its 13.9%
shareholding), the Ambeon Option Extension is treated as a related party
transaction under AIM Rule 13 of the AIM Rules for Companies. The Company's
directors consider, having consulted with SPARK Advisory Partners Limited, the
Company's nominated adviser, that the terms of the Ambeon Option Extension are
fair and reasonable insofar as the Company's shareholders are concerned.

 

Greg Martyr, Executive Chairman of Capital Metals, commented:

"It has been a busy period for the Company and we are very pleased with the
support from Ambeon and its strategic partners who are rolling up their
sleeves on many fronts to assist in accelerating the approvals required to
start construction of the Taprobane Minerals Project. The process of closing
Ambeon's $2 million option should hopefully be concluded shortly providing
more than enough funding to get us through the Final Investment Decision
scheduled before the end of this year."

 

Grant of Share Options

The Company has granted share options to Mr Dinal Peiris to subscribe for
600,000 new Ordinary shares in the Company (the "Peiris Options") in
consideration for his ongoing advice on matters in Sri Lanka and his role in
the group restructuring in Sri Lanka announced on 20 February 2023. The Peiris
Options will be exercisable on the terms below for up to five years from the
date of grant:

(i)            200,000 options shall vest at 3p after 12 months

(ii)           200,000 options shall vest at 4p after 24 months

(iii)          200,000 options shall vest at 5p after 36 months

Issue of Fee Shares

Capital Metals also announces it has issued 783,677 ordinary shares to Hannam
& Partners in consideration of Broker and Financial Advisor fees in
connection with the May 2025 capital raisings ("Fee Shares"). The Fee Shares
have been issued at 2.5 pence per share (equal to £19,591.92).

 

Admission and Total Voting Rights

Application has been made for the Fee Shares to be admitted to trading on AIM
("Admission"). It is expected that Admission will become effective and
dealings in the Fee Shares will commence at 8.00 a.m. on or around 21 July
2025. The Fee Shares will rank pari passu with the Ordinary shares of the
Company in issue.

Following Admission, the total number of Ordinary shares in the capital of the
Company in issue will be 429,902,293 with voting rights. This figure may be
used by shareholders 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's share capital pursuant to (i) the
Company's Articles, (ii) the Financial Conduct Authority's Disclosure Guidance
and Transparency Rules and/or (iii) the AIM Rules for Companies issued by the
London Stock Exchange plc as amended from time to time.

 

Capitalised terms used herein without definition shall have the same meanings
given to them as in the 29 May 2025 announcement released at 7.00 a.m.

For further information, please visit www.capitalmetals.com
(http://www.capitalmetals.com) or contact:

 

 Capital Metals plc                                      Via Vigo Consulting

 Greg Martyr (Executive Chairman)
 Vigo Consulting (Investor Relations)                    +44 (0)20 7390 0234

 Ben Simons / Peter Jacob                                capitalmetals@vigoconsulting.com (mailto:capitalmetals@vigoconsulting.com)
 SPARK Advisory Partners (Nominated Adviser)             +44 (0)20 3368 3550

 Neil Baldwin / James Keeshan
 Hannam & Partners (Broker & Financial Advisor)          +44 (0)20 7907 8500
 Andrew Chubb / Leif Powis

 

About Capital Metals

Capital Metals is a UK company listed on the London Stock Exchange (AIM:
CMET). We are developing the Taprobane Minerals Project in Sri Lanka,
approximately 220km east of Colombo, containing industrial minerals including
ilmenite, rutile, zircon, and garnet. The Project is one of the highest-grade
mineral sands projects globally, with potential for further grade and resource
expansion. In 2022, a third-party Preliminary Economic Assessment provided a
Project NPV of US$155-235m based on existing resources, with further
identified optimisation potential. We are committed to applying modern mining
practices and bringing significant positive benefits to Sri Lanka and the
local community. We expect over 300 direct new jobs to be created and over
US$150m in direct government royalties and taxes to be paid.

 

Visit our website:

www.capitalmetals.com (http://www.capitalmetals.com)

 

Follow us on social media:

 

X: @MetalsCapital (https://twitter.com/MetalsCapital)

LinkedIn: @Capital Metals plc (https://uk.linkedin.com/company/capitalmetals)

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