Somerset Minerals Limited Pushes Entitlement Offer Deadline to 5 August 2026

Extended Closing Date Offers Shareholders More Time to Participate

Somerset Minerals Limited has revised the closing date for its non-renounceable pro rata entitlement offer to 5 August 2026, extending the deadline from the previously announced date. This change represents a significant update to the capital raising timetable, with the final date to extend the offer set as 31 July 2026. The extension provides eligible shareholders with additional time to assess their options and make informed decisions regarding participation.

The company informed the market on 17 July 2026 about this extension to the entitlement offer initially announced on 1 July 2026. The record date for determining eligible shareholders is 6 July 2026, with offer documents dispatched on 9 July 2026. This revised timeline highlights Somerset Minerals’ commitment to ensuring shareholders have sufficient opportunity to consider their involvement in this important capital management exercise.

Non-Renounceable Offer at AUD 0.008 Per Share with Complimentary Attaching Options

The entitlement offer is non-renounceable, meaning shareholders cannot transfer or sell their entitlements if they opt not to participate. The offer is structured as a 1-for-10 pro rata issue, granting one entitlement for every ten ordinary fully paid shares held as of the 6 July 2026 record date. The offer price is set at AUD 0.008 per share, reflecting the company’s valuation for this capital raise.

Importantly, the offer includes free attaching options issued to shareholders. For every two new ordinary shares subscribed, shareholders receive one option expiring on 30 September 2029 with an exercise price of AUD 0.02. This arrangement provides shareholders downside protection through the fixed-price share purchase alongside potential upside via the option component, contingent on share price performance over the three-year option term.

Significant Capital Raise: Up to 145.7 Million Shares and 72.8 Million Options

The entitlement offer contemplates issuing up to 145,687,956 ordinary fully paid shares, subject to rounding adjustments. Fractional entitlements will be rounded up, potentially increasing the total shares issued slightly beyond strict proportional calculations. This maximum assumes full subscription by eligible shareholders and reflects the sizeable capital Somerset Minerals aims to raise.

The option component is scaled accordingly, with up to 72,843,978 options (ASX code SMMAB) to be issued. These options share identical terms with the attaching options, expiring 30 September 2029 at an exercise price of AUD 0.02. Allocation and scale-back arrangements will be detailed in the prospectus, allowing the company to manage oversubscription effectively.

Cygnet Capital Leads Offer Management with 2% Fee and 10 Million Options

Cygnet Capital Pty Limited is appointed as lead manager and broker for the entitlement offer. The firm will receive a 2% management fee on funds raised, a standard arrangement for pro rata capital raises that aligns manager compensation with successful capital raising outcomes.

Additionally, Cygnet Capital will be granted 10,000,000 options on the same terms as those attaching to the offer shares. This equity-based incentive aligns the lead manager’s interests with the company’s share price performance and supports the effective execution of the capital raise. The combination of cash fees and option compensation is common practice in Australian equity capital markets.

Settlement and Trading Schedule for New Securities

Trading on a deferred settlement basis for the new securities will commence on 6 August 2026, immediately following the extended offer closing date. This facilitates timely processing of subscription applications and enables early market exposure to the new shares.

The issue date for the new securities is scheduled for 12 August 2026, coinciding with the announcement of the entitlement offer results. Normal trading with T+2 settlement will begin on 13 August 2026, transitioning from deferred settlement. The first settlement date for all trades, whether deferred or standard, is set for 17 August 2026, ensuring orderly completion of transactions.

Eligible Shareholders Allowed to Over-Subscribe Within Regulatory Limits

Shareholders eligible for the offer may apply for additional shares beyond their pro rata entitlement through a shortfall offer, subject to restrictions under section 606 of the Corporations Act 2001. This provision limits acquisitions that could trigger substantial holding disclosures or contravene takeover laws.

If oversubscription occurs, a scale-back mechanism will be implemented to allocate shares fairly among applicants requesting more than their entitlement. Details of the scale-back process will be provided in the prospectus, balancing capital raising objectives with equitable shareholder treatment.

Record and Ex-Date Set to Define Offer Eligibility

The entitlement offer’s record date is 6 July 2026, determining which shareholders qualify to participate. The ex-date is 3 July 2026, three trading days prior, consistent with Australian market conventions. Shareholders holding shares on the ex-date and continuing through the record date will be entitled to participate on a pro rata basis.

This structure ensures the share register is accurately captured for the offer. Purchases made after the ex-date will not confer entitlement, preserving the pro rata allocation integrity. The gap between ex-date and record date allows for trade settlement and register updates.

Strategic Rationale Behind Somerset Minerals’ Capital Raise

Somerset Minerals Limited is conducting this pro rata entitlement offer as a capital management strategy. While specific use of proceeds has not been detailed, the non-renounceable structure and inclusion of free attaching options indicate a desire to raise funds while preserving shareholder participation and potential upside.

The extension of the offer closing date reflects responsiveness to market conditions and shareholder needs, aiming to maximise subscription levels. The engagement of Cygnet Capital as lead manager ensures professional oversight, with aligned incentives through fees and options supporting successful execution.

Regulatory Compliance and ASX Listing Rules Adherence

The capital raise complies with ASX Listing Rules, particularly Appendix 3B concerning proposed securities issues. Somerset Minerals has applied for quotation of all securities issued under the prospectus, with a final Appendix 2A notification to be lodged post-offer confirming issued securities and requesting quotation. New shares will rank equally with existing shares from issue date.

The attaching options (SMMAB) form an existing class and rank equally with other options in that class. The offer documents serve as a prospectus under Australian securities law, with the offer conducted under Corporations Act 2001 disclosure and procedural requirements. No external approvals are required for the offer to proceed unconditionally, confirming regulatory and governance clearance.