Heavily shorted lithium stock Pilbara Minerals to release under its NED fee sacrifice offer\u00a0
\nWinsome Resources to release more than 8 million fully paid ordinary shares and 4 million unlisted options
\nCosmos Exploration and Australian Critical Minerals will also release shares from escrow\u00a0<\/p>\n
Escrow Watch is\u00a0Stockhead\u2019s\u00a0recap of the ASX companies that are releasing shares currently in escrow (also known as restricted securities) over the coming weeks.<\/p>\n
ASX shares in escrow are \u201clocked away\u201d and not listed on the bourse so owners can\u2019t sell them \u2013 until they\u2019re released.<\/p>\n
This is intended to depict to would-be investors when raising capital that the management and previous investors are still backing the venture and aren\u2019t raising capital just so they can \u201csell out\u201d.<\/p>\n
While there\u2019s no guarantee holders of escrowed shares will sell at that point, the mere fact that they will be able to is worth knowing \u2013 particularly if shares have substantially moved one way or the other.<\/p>\n
Click here<\/a> for a more detailed description of the ASX rules surrounding escrow arrangements. There is certainly no shortage of companies releasing shares at the end of the year.<\/p>\n \u00a0<\/p>\n Microbiome health company Biome Australia (ASX:BIO)<\/strong><\/a> will release\u00a039,359,545 fully paid ordinary shares, 2,131,404 unlisted options exercisable at 30 cents on or before November 24, 2024 and 2,131,404 unlisted options exercisable at 40 cents on or before November 24, 2025.<\/p>\n BIO says 38,534,545 or 98% of the 39,359,545 fully paid ordinary shares coming out of escrow are held by the board, senior management and a supportive shareholder, all of whom intend to hold their shares once released from escrow.<\/p>\n \u00a0<\/p>\n March-listed lithium play Leeuwin Metals (ASX:LM1) <\/strong><\/a>says it will release 1,230,631 fully paid ordinary shares and 2.5 million unquoted options with an exercise price of 50 cents each, expiring on May 31, 2027.<\/p>\n LM1 says the shares being released from escrow are held by cornerstone investor Glencore Australia Holdings Pty Ltd, a wholly owned subsidiary of Swiss multinational commodity trading and mining company Glencore PLC.<\/p>\n \u00a0<\/p>\n Lithium explorer and developer Winsome Resources (ASX:WR1) <\/strong><\/a>will release 8,240,007 fully paid ordinary shares and 4 million unlisted options expiring November 18, 2025 with exercise price of 30 cents along with 2,050,000 performance rights.<\/p>\n WR1 says there are no further securities subject to either ASX imposed mandatory escrow arrangements or voluntary escrow arrangements.<\/p>\n The company will be applying for quotation of the escrowed securities upon their date of release and there will be no change to the issued capital as a result of release of the escrowed Securities.<\/p>\n \u00a0<\/p>\n Heavily shorted lithium stock Pilbara Minerals (ASX:PLS)<\/strong><\/a> will release 14,191 ordinary shares previously issued to non-executive directors (NED) under the company\u2019s NED fee sacrifice offer approved by shareholders at 2020 AGM.<\/p>\n The ASX 200 lithium company has 19% of its stock currently shorted<\/a>. Lithium prices have dropped substantially in 2023 from 2022 prices.<\/p>\n Analysts say short-sellers are factoring in a decline in profit due to lower spodumene prices, a capital expenditure program bringing PLS\u2019s cash on hand down, and in the short term a growth profile unfavourable to the market.<\/p>\n The PLS share price is down 5.47% YTD and ~10% in the past month.<\/p>\n \u00a0<\/p>\n Lithium, nickel-copper-PGE and gold-copper explorer Cosmos Exploration (ASX:C1X)<\/strong><\/a> will release 13 million fully paid ordinary shares from escrow.<\/p>\n C1X recently provided positive updates on its exploration activities at its prospective Corvette Far East Lithium project and Lasalle project, in the prolific James Bay district in Quebec, Canada.<\/p>\n The explorer says it will apply for quotation of the shares.<\/p>\n \u00a0<\/p>\n QANTM Intellectual Property (ASX:QIP)<\/strong><\/a>\u00a0 will release \u00a0887,192 fully paid ordinary shares.<\/p>\n QIP is the owner of a group of leading intellectual property (IP) services businesses operating in Australia, New Zealand, Singapore, Malaysia and Hong Kong.<\/p>\n At QIP\u2019s recent AGM<\/a> chair Sonia Petering said despite high inflationary environment, the company reported strong FY23 results including total revenue of $137 million, up 7.6% from FY22.<\/p>\n \u201cImportantly, we reported that service charge revenues rose by 7.4% to $103.8 million, reflecting our ability to drive top-line growth across each of our businesses,\u201d she said.<\/p>\n \u00a0<\/p>\n Australian Critical Minerals (ASX:ACM)<\/strong><\/a> will release 2,345,000 escrowed shares and 5,456,250 escrowed options with an exercise price of\u00a0 30 cents on June 29, 2026.<\/p>\n ACM says the following securities remain subject to escrow:<\/p>\n 3,250,000 shares escrowed until March 27, 2024 ACM recently announced trace elements and spectral analysis confirms a LCT pegmatite system and has generated 10 priority targets in the untested goldilocks zone at its Cooletha Lithium Project in the Pilbara lithium district of WA.<\/p>\n Edtech and online tutoring company Cluey (ASX:CLU)<\/strong><\/a> has announced it will release 14,994\u00a0 ordinary shares from escrow.<\/p>\n During his recent AGM address chairman Robert Gavshon said the past year had been demanding \u201cgiven market conditions generally, and specifically given inflationary and cost of living pressures\u201d.<\/p>\n In FY23 CLU achieved revenue of $39.4 million an increase of 15% on FY22, delivering 599,474 student sessions, an increase of 11% on FY22.<\/p>\n The company achieved a 20% improvement in Underlying EBITDA loss of $14.2 million compared to $17.7 million in FY22 and an 8% improvement in gross profit margin in FY23, to 57.3%.<\/p>\n \u201cThe market conditions in play during FY23 has led Cluey to reset its immediate strategic goals and most importantly focus on achieving profitability,\u201d Gavshon said.<\/p>\n \u00a0<\/p>\n \ufeff<\/span>\ufeff<\/span><\/span>\u00a0<\/p>\n \u00a0<\/p>\n At Stockhead, we tell it like it is. While Leeuwin Metals <\/em>is a Stockhead advertiser, it did not sponsor this article.\u00a0<\/em><\/p>\n <\/span><\/p>\n The post ASX Escrow Watch: Lithium companies dominate in releasing shares<\/a> appeared first on Stockhead<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"November 30 \u2013 Biome Australia\u00a0<\/strong><\/h2>\n
November 30 \u2013 Leeuwin Metals<\/h2>\n
November 30 \u2013 Winsome Resources<\/h2>\n
December 1 \u2013 Pilbara Minerals<\/h2>\n
December 1 \u2013 Cosmos Exploration<\/h2>\n
December 1 \u2013 QANTM Intellectual Property<\/h2>\n
December 2 \u2013 Australian Critical Minerals<\/h2>\n
\n8,205,010 shares escrowed until July 3, 2025
\n625,000 options escrowed until May 1, 2024
\n12,450,000 options escrowed until July 3, 2025<\/p>\nDecember 3 \u2013 Cluey<\/h2>\n
The BIO,LM1, WR1,PLS,C1X,QIP,ACM, CLU, share price today:<\/h2>\n\n