Imdex Limited Converts 1.6 Million Performance Rights into Ordinary Shares, Increasing Total Shares to Over 511 Million

Conversion of Performance Rights to Ordinary Shares on 1 July 2026 Under Imdex’s Employee Incentive Scheme

On 1 July 2026, Imdex Limited announced the conversion of 1,606,863 unquoted performance rights (ASX code: IMDAC) into fully paid ordinary shares (ASX code: IMD). The conversion was completed within a single day, with both the initial and final conversion date recorded as 1 July 2026. These newly issued shares belong to an existing class of quoted securities on the ASX and rank equally with all other ordinary shares.

These performance rights were granted under an employee incentive scheme designed to attract, retain, and motivate key personnel. Typically, such rights vest only upon meeting specific conditions, which may include financial targets, operational milestones, or service duration. Imdex did not disclose the exact vesting criteria met or provide commentary on the financial or strategic achievements that triggered this conversion.

Five Senior Imdex Executives Participate in KMP Performance Rights Conversion

The update confirmed that five key management personnel converted performance rights held in their own names. Paul House converted the largest parcel with 82,506 rights, followed by Shaun Southwell with 36,871, Michelle Carey with 32,337, Michael Tomasz with 30,826, and Linda Lim with 18,363. Collectively, these five KMP members converted 200,903 shares.

Given the total conversion was 1,606,863 shares, the remaining approximately 1,405,960 shares were converted by other employee incentive scheme participants not classified as KMP. Imdex did not provide further details on these additional participants. Disclosure of KMP-specific conversions complies with ASX Listing Rule requirements and Appendix 3G reporting, promoting transparency regarding equity movements by senior executives and directors.

Total Ordinary Shares on Issue Increase to 511,841,821 Following Conversion

Following this conversion, Imdex’s total quoted ordinary shares on issue rose to 511,841,821, combining previously issued shares with the 1,606,863 newly issued shares. The company notes that these figures, automatically generated, may not fully reflect the current issued capital if other filings are concurrently processed by the ASX, a standard disclaimer on Appendix 3G forms.

The addition of 1,606,863 shares represents approximately 0.31% dilution relative to the total post-conversion share count. While any share issuance dilutes existing shareholders proportionally, this scale is unlikely to materially affect Imdex’s overall capital structure. Investors tracking dilution from incentive schemes should also consider the remaining unquoted performance rights.

Imdex Retains 17,043,099 Unquoted Performance Rights After Conversion

Post-conversion, Imdex holds 17,043,099 unquoted performance rights (IMDAC) that have yet to vest or convert into ordinary shares. This substantial remaining pool indicates the company continues to operate a significant employee incentive program with meaningful equity exposure for participants.

These unvested performance rights represent potential future share issuances if vesting conditions are met. Investors monitoring Imdex’s capital structure and dilution should factor this into their analysis. The company did not disclose the vesting schedule, performance hurdles, or expected timeline for conversion of these remaining rights in this update.

Implications of Using Performance Rights for KMP Remuneration at Imdex

Performance rights are commonly used to align management incentives with shareholder interests, as they convert into shares only upon achieving defined performance conditions. The participation of five KMP members in the 1 July 2026 conversion indicates that the relevant vesting criteria were satisfied.

Imdex has not specified whether these conditions were time-based, earnings-related, or linked to other operational or strategic metrics. Shareholders seeking detailed information on the performance conditions can refer to Imdex’s annual report or remuneration report, which are part of statutory disclosures. The timing of this conversion, coinciding with the start of Imdex’s financial year on 1 July 2026 (following a 30 June balance date), aligns with typical vesting cycles for ASX-listed incentive schemes.

Largest Individual KMP Conversion: Paul House’s 82,506 Shares

Among the five KMP participants, Paul House converted the largest number of performance rights at 82,506 shares, more than double the next largest recipient, Shaun Southwell, who converted 36,871 shares. Michelle Carey and Michael Tomasz converted 32,337 and 30,826 shares respectively, while Linda Lim converted 18,363 shares.

This variation reflects typical tiered remuneration structures where senior executives or those with broader responsibilities receive larger equity awards. Imdex did not disclose the specific roles of these KMP members in this update. Disclosure of individual KMP conversion amounts is a regulatory requirement under ASX Listing Rules, ensuring transparency of equity-based remuneration for senior management.

Regulatory Framework: Appendix 3G Filing for Performance Rights Conversion

The Appendix 3G is the ASX’s standard form for notifying the conversion or issue of unquoted equity securities. When performance rights convert into ordinary shares, companies must lodge an Appendix 3G to disclose the transaction, providing market participants with timely and accurate information on changes to issued capital.

Because the shares issued belong to an existing quoted class, Imdex was not required to file an Appendix 3B, which is reserved for new classes of securities or previously unnotified issues. The Appendix 3G filing updates the public record of securities on issue, a key reference for investors, analysts, and fund managers monitoring the company’s capital position.

About Imdex and the Importance of Equity Incentives in Technology Firms

Imdex Limited is a global technology company specialising in drilling optimisation and data solutions for the minerals sector. Its products and services enhance the efficiency and accuracy of mineral exploration and resource drilling worldwide. The company’s success depends heavily on retaining skilled technical, commercial, and operational personnel, making equity-based incentives a critical tool for talent retention.

For technology and services companies like Imdex, equity incentive schemes serve to retain experienced staff who might otherwise be attracted to competitors or startups, while aligning executives’ financial interests with the company’s long-term share price performance. The recent performance rights vesting and conversion on 1 July 2026 is a routine but significant event demonstrating the ongoing execution of Imdex’s people strategy. Continued participation by senior leaders in the equity program may be viewed positively by investors as a sign of confidence in the company’s future.

Investor Outlook: Monitoring Imdex’s Equity Incentive Program

With 17,043,099 performance rights remaining outstanding, investors and analysts should watch for future Appendix 3G disclosures detailing additional conversions. The timing and volume of future share issuances will depend on the satisfaction of vesting conditions for each tranche of performance rights, typically disclosed in the company’s annual remuneration report.

The immediate market impact of this conversion was not evident from public data at the time of this report. Investors seeking comprehensive insight into Imdex’s equity incentive arrangements, including performance hurdles governing the remaining unvested rights, should review the company’s latest annual report and remuneration disclosures. The next key reporting milestone will likely be Imdex’s full-year financial results for the year ending 30 June 2026, which should provide broader context on operational and financial performance during the vesting period.