Fully Funded and Positioned for Commercialization in FY2026

MCDONALD, Tenn., Feb. 10, 2025 (GLOBE NEWSWIRE) -- Amaero International Limited (ASX:3DA) (“Amaero” or the “Company”) a leading U.S. domestic producer of high-value C103, refractory alloy, and titanium powders for additive and advanced manufacturing of components utilized by the defense, space, and aviation industries is pleased to announce that it has successfully completed the bookbuild for an institutional placement (“Placement”) to raise approximately A$22 million.

• Amaero successfully completed an institutional placement to raise A$22 million following strong support from existing cornerstone institutional investors as well as a new U.S-based institutional investor.
• Capital raising was fully subscribed by Pegasus Growth Capital, the Amaero Board, four lead institutional investors, and a new U.S-based institutional investor. Following the capital raise, Regal Funds Management and IFM Investors will join Pegasus Growth Capital and Fidelity International as substantial investors.
• The offer was priced at A$0.30 per share, a 10.4% discount to the last closing price and this Placement concludes a series of six strategic equity capital raises since May 2022, totaling A$98.5 million.
• Post transaction pro forma cash balance of approximately A$41.5 million, in addition to the recent A$37.8M loan from Export-Import Bank of the United States, providing a strong balance sheet and fully funded position as Amaero transitions to commercialization in FY2026.

“As we transition to commercialization in FY2026, this equity capital raise concludes a series of strategic capital raises since May 2022 that have totalled approximately A$100 million,” said Hank J. Holland, Amaero Chairman and CEO. This financing satisfies the precedent condition in the recently announced EXIM Bank loan to complete capital raise prior to 1st loan draw and it fully funds the planned capital expenditures and operations through anticipated EBITDA breakeven in FY2026.1 This marks a significant milestone for Amaero. We are pleased that Regal Funds Management and IFM Investors will join Pegasus Growth Capital and Fidelity International as substantial investors and we are pleased to add a U.S. institutional investor.”

Mr. Holland continued, “With the support of our stakeholders, we continue to focus on our strategic positioning as the largest capacity and most responsive U.S. domestic producer of C103, refractory, and specialty AM powders for additive manufacturing. And, our pioneering PM-HIP manufacturing of large near-net-shape parts provides an important substitute for castings and forgings. We have taken bold and deliberate action to address critical gaps in the United States’ supply chain and to create a more resilient and more scalable domestic manufacturing capability for mission-critical defense, space and aerospace applications.

Our strong balance sheet, first mover advantage and differentiated capability, coupled with the United States’ priority initiatives to re-shore, re-build and scale industrial base capabilities creates an enduring long-term opportunity for Amaero and its shareholders.”

Summary of Placement

The Company will issue approximately 73.3 million new fully paid ordinary shares (“ New Shares”) to eligible sophisticated, professional and institutional investors at a price of A$0.30 per New Share (“ Placement Price”).

Following completion of the Placement, New Shares under the Placement represents 11.9% of Amaero’s existing issued capital and will be issued as follows:

• an unconditional component of approximately A$20.5 million fully committed proceeds and 68.3 million New Shares will be issued pursuant to the Company’s existing placement capacity under ASX Listing Rules 7.1 and 7.1A (“ Tranche 1”); and
• a conditional component of approximately A$1.5 million fully committed proceeds and 5.0 million New Shares to be issued, subject to shareholder approval in accordance with ASX Listing Rules 7.1, 7.1A and 10.11 (“ Tranche 2”). A Notice of General Meeting will be sent to shareholders shortly.

The Placement Price of $0.30 per New Share represents a:

• 10.4% discount to the last closing price of A$0.335 on 6 February 2025;
• 10.5% discount to the 5-day Volume Weighted Average Price (“ VWAP”) of A$0.335 on and including 6 February 2025; and
• 9.6% discount to the 15-day VWAP of A$0.332 on and including 6 February 2025.
  

New Shares issued under the Placement will rank pari passu with existing fully paid ordinary shares on issue. The Placement is not underwritten.

Curran & Co acted as Sole Lead Manager and Sole Book Runner to the Placement and Gilbert + Tobin acted as Australian Legal Advisor to the Company.

Proposed Use of Placement Proceeds

Projected Placement Timetable

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