Australian Strategic Materials (ASM) has successfully raised $55 million to double alloy production capacity and advance strategic growth initiatives in the global rare earth supply chain.
ASM has completed a strongly supported institutional placement, raising approximately $55 million at $1.20 per share. The capital raising attracted major support from new and existing domestic and international investors, with significant demand from US-based entities reflecting ASM’s growing global reputation in rare earth metallisation.
The funds will be deployed to drive key growth initiatives aligned with ASM’s mine-to-metals strategy:
âž¡ Completion of Phase 2 expansion at the Korean Metals Plant to double NdFeB alloy production capacity to 3,600 tonnes per annum.
âž¡ Advance additional downstream expansion activities in Korea and/or the United States.
âž¡ Pursue strategic partnerships to support the development of a secure, alternative global rare earth supply chain.
The strongly supported Placement reflects growing global recognition of ASM’s proven capability in downstream rare earth metallisation and the Company’s broader mine to metals strategy.
ASM is now fully funded to execute its Phase 2 ramp-up plan at the Korean Metals Plant (KMP).
“Over the past six months, we have witnessed a seismic shift in the dynamics of the rare earths market…In this unpredictable and volatile environment, the KMP represents an established, stable producer of rare earth metals and alloys, and offers a long-term, secure supply of critical materials.”
Rowena Smith, Managing Director & CEO
The placement underscores ASM’s unique position as the only ASX-listed rare earth company with proven downstream metallisation capability and a vertically integrated mine-to-metals strategy.