Tennant Minerals Finalizes Allotment of 164 Million Shares at $0.0065 Each After Shareholder Approval

Tennant Minerals Issues Over 164 Million Shares to Complete May 2026 Placement

On 16 July 2026, Tennant Minerals Limited confirmed the formal issuance of 164,296,615 new fully paid ordinary shares as part of the Placement Offer announced on 5 May 2026. These shares were allotted at $0.0065 each to sophisticated and professional investors as defined by the Corporations Act 2001. This investor category allows participation in placements without a formal prospectus or disclosure document, provided statutory requirements under Section 708A are met.

This allotment concludes a capital raising process initiated over two months earlier. Following the initial announcement on 5 May 2026, shareholder approval was obtained at the general meeting on 7 July 2026. The lodging of the Section 708A notice and Appendix 2A on 16 July 2026 confirms the placement’s completion. The newly issued shares belong to the same class as existing securities quoted on the Australian Securities Exchange, carrying identical rights.

Placement Price of $0.0065 Per Share Reflects Terms Agreed with Investors

The $0.0065 per share issue price was set for the placement to sophisticated and professional investors under the structure announced on 5 May 2026. This price is publicly disclosed as part of the Section 708A notice and represents the consideration paid by placement participants. Although the total gross proceeds from issuing 164,296,615 shares can be calculated, the company has not disclosed the aggregate placement proceeds or specific intended uses in this update.

Analysts and investors will note this price reflects the agreed terms between Tennant Minerals and its investor base. The announcement does not specify whether this price included any discount to the market price at the time, nor does it mention any brokers or placement agents involved. Issuing shares at this price to sophisticated and professional investors aligns with statutory provisions enabling smaller listed companies to raise capital efficiently without the expense and delay of a full prospectus.

Shareholder Approval on 7 July 2026 Enabled Final Allotment

A vital milestone in the placement’s completion was shareholder approval secured at the general meeting on 7 July 2026. Such approval is required when the number of shares issued exceeds a company’s placement capacity or when mandated by ASX Listing Rules or the Corporations Act. This approval cleared regulatory and governance hurdles, allowing the formal allotment on 16 July 2026.

The nine-day interval between the general meeting and allotment reflects the administrative and legal processes necessary to finalize the issuance. These include updating the shareholder register, lodging Appendix 2A with the ASX, and releasing the Section 708A notice. Tennant Minerals confirmed the Appendix 2A release on 16 July 2026, fulfilling ASX notification requirements for newly issued securities.

Section 708A Notice Affirms Compliance for Share Issuance Without Prospectus

The Section 708A(5)(e) notice lodged by Tennant Minerals under the Corporations Act 2001 legally permits the new shares to be traded freely on the ASX without a formal disclosure document like a prospectus. This exemption applies to listed companies that comply with continuous disclosure obligations under Sections 674 and 674A, as well as financial reporting requirements under Chapter 2M.

Tennant Minerals confirmed compliance with Chapter 2M and Sections 674 and 674A as of 16 July 2026. The company also stated there is no excluded information under Sections 708A(7) and 708A(8), meaning no material non-public information exists that would restrict reliance on the exemption or require additional disclosures before trading.

Impact of Placement Completion on Tennant Minerals’ Capital Structure

The issuance of 164,296,615 new ordinary shares materially increases Tennant Minerals’ total shares on issue. These shares are of the same class as existing securities, carrying equal voting rights and entitlement to dividends or distributions. The dilution effect on existing shareholders depends on the total shares outstanding before the placement, which the company did not disclose in this update. Shareholders and analysts seeking to assess dilution should consult the latest Appendix 2A or share registry data.

Capital raises through placements to sophisticated and professional investors are common for smaller ASX-listed companies to fund operations, exploration, or corporate growth without the delays and costs of rights issues or prospectus offerings. Tennant Minerals did not specify how it plans to deploy the placement proceeds or provide financial guidance in this announcement. Investors should refer to the original 5 May 2026 Placement Offer announcement or subsequent company updates for such details.

Overview of Tennant Minerals as an ASX-Listed Exploration Company

Tennant Minerals Limited is an Australian minerals exploration company headquartered in West Perth, Western Australia, with its registered office at Level 1, 8 Parliament Place, West Perth WA 6005. The company is publicly traded on the ASX under the ticker TMS. Its exploration activities focus on mineral assets, with capital raised from public and institutional investors to advance its projects.

The capital raising via placement to sophisticated and professional investors aligns with the typical funding approach of small-to-mid-cap Australian exploration companies, which often require ongoing equity injections to support exploration, studies, and corporate functions before generating revenue. This update did not include details on current exploration projects, tenements, or operations, focusing solely on statutory notification of the share allotment. Investors seeking broader information should review other public disclosures and project updates from Tennant Minerals.

Company Secretary Tanya Newby Authorises Placement Announcement

The update was authorized by Tennant Minerals’ Board of Directors and formally signed by Tanya Newby, Company Secretary. Ms. Newby is also the primary contact for investor inquiries, reachable at +61 8 9481 7833. The Company Secretary plays a key role in managing statutory notices like the Section 708A filing, ensuring all legal and regulatory requirements are fulfilled for new securities issuance.

Board authorization is a standard governance practice for market-sensitive announcements, confirming review and approval at the highest management level before market release. The Company Secretary’s involvement in both authorization and investor contact reflects the lean corporate structure common among smaller ASX-listed exploration firms, where senior officers often hold multiple roles. Investors or analysts seeking further information on the placement or corporate matters are encouraged to contact the company directly using the provided details.

Investor Risks Associated with Tennant Minerals’ Placement

As with any capital raise by a small-cap minerals exploration company, investors should consider risks specific to Tennant Minerals and its business model. The issuance of 164,296,615 shares at $0.0065 each increases total shares outstanding, diluting ownership percentages of existing shareholders who did not participate. Dilution is a typical risk in placement-based capital raises and is especially relevant for exploration companies that frequently return to equity markets to fund activities before achieving cash flow positive operations.

The company’s ability to effectively utilize the placement proceeds and create shareholder value depends on exploration success, commodity price conditions, and securing future funding if needed. This announcement did not provide guidance on milestones, exploration timelines, or financial forecasts. The immediate impact on share price from the placement completion was not disclosed. Investors should be aware that exploration companies carry inherent risks, including the possibility that exploration efforts may not yield commercially viable mineral deposits.