LSE-listed Altona, a resource exploration and development company focused on critical raw materials in Africa, has executed a growth capital facility agreement with Zeus Capital to raise gross proceeds of up to £2 million. The facility is designed to accelerate value creation activities stemming from the recent Monte Muambe fluorspar and gallium Mineral Resource Estimates announcement, while preserving the company's flexibility and protecting shareholders from unnecessary dilution.
The facility offers the company a flexible way to raise funds in a controlled manner, over time, and at prevailing market prices.
Proceeds from the facility are intended to bolster the company's cash balance of c.£1m as at 30 April 2026. The proceeds will support the work programme arising from the Monte Muambe Mineral Resource Estimates announced on 5 May 2026, including the completion of the fluorspar scoping study, the on-going gallium metallurgical test work and the heavy rare earths workstreams. Proceeds will also support general working capital and the continued implementation of the company's diversification strategy.
How the facility works
Unlike traditional discounted fundraises, this facility gives the company control, flexibility, and alignment with market prices.
· The facility will be drawn in four separate tranches.
· For each Tranche, the Company will issue Zeus ordinary shares of 1 pence each in the Company.
· Issued Facility Shares will be fully paid and rank pari passu in all respects with the existing ordinary shares of 1 pence each in the Company ("Ordinary Shares").
Zeus will use reasonable endeavours to sell each Tranche's Facility Shares on behalf and for the benefit of the Company. The Facility Shares will be sold during the first 3 months of each Tranche, at not less than market bid price.
Zeus will receive a broker fee from the gross proceeds of the sale of the Facility Shares. On completion of each Tranche, the net proceeds will be paid to the Company and announced.
Zeus may request the drawdown of subsequent tranches at any time until the Facility is fully utilised, subject to the Company's right to veto any such further drawdown at its sole discretion.
If any Facility Shares have not been sold by Zeus by the end of a Tranche's agreed term, the Company will be obliged to consider a potential buyback of any outstanding Facility Shares, subject to shareholder approval.
Issue of Equity
The Company has today issued Zeus with 12,000,000 Ordinary Shares being the First Tranche under the Facility. This corresponds to approximately 2.62% of the Company's issued share capital as enlarged by the Initial Tranche Shares. The Initial Tranche Shares will be issued pursuant to the Company's block listing facility as announced to the market on 23 March 2026 and will be admitted to trading at 8:00 a.m. on or around 6 May 2026.
Cedric Simonet, CEO, commented: "The exciting Monte Muambe project developments announced yesterday have generated multiple interdependent catalysts which will result in more shareholder value creation. The growth capital facility established with Zeus is innovative and transformative. It provides the required flexibility to fit our medium-term cash flow requirements as we advance through this exciting phase of the project's life. It also gives us the confidence to execute the required work streams. At the same time, the built-in safeguards are designed with shareholder's interest in mind, in particular avoiding an unnecessary discounted fundraise for working capital."