#Sweden #Gothenburg #Warrants #Minesto #TO4

Minesto Secures Significant Guarantee Commitment for Warrants

Minesto AB (publ) has made a crucial announcement on March 24, 2025, revealing that it successfully obtained a guarantee commitment totaling approximately 10.3 million SEK from an external investor regarding the exercise of its warrants from series TO4. This guarantee commitment, identified as a top guarantee, serves as a safety net for the company, ensuring that it can raise necessary capital even if less than 100% of the warrants are exercised.

The essence of this guarantee is to enhance the company's financial robustness without complicating the capital raising process. In practical terms, the subscription of shares under this commitment will occur through a directed issue of new shares to the guarantor. Following the subscription period for the warrants, which runs from 18 March to 1 April 2025, the Board of Directors intends to finalize the directed issue based on shareholder authorization obtained during the Annual General Meeting held on May 22, 2024.

The determined subscription price for the newly issued shares will match the price set for exercising the TO4 warrants, specifically at SEK 1.54 per share. This strategic decision reflects the prevailing market conditions and aligns with the interests of both Minesto and its shareholders. By facilitating this directed issue, the company aims to raise additional funds efficiently and with minimal complexity compared to traditional financing avenues.

The Board has highlighted the significance of ensuring that the series TO4 warrants are thoroughly exercised. This action not only ensures the company’s liquidity but also mitigates potential dilution for existing shareholders. The guarantee commitment empowers the holders of the series TO4 warrants to make informed decisions on exercising their options while potentially decreasing the number of shares required to be issued under the directed issue.

According to the agreement, a compensation of 10% of the guaranteed amount will be paid to the guarantor, which equates to a reward mechanism provided through newly issued shares on similar terms to the intended directed issue. This compensation structure is tailored to reflect market conditions, presenting a win-win scenario for both parties involved.

If the warrants are not fully exercised, the Board aims to execute the directed issue around April 3, 2025, once the results of the warrants' exercises have been disclosed. Through this target issue, Minesto could potentially see an increase in shares by a maximum of 6,676,669, subsequently elevating the share capital by up to SEK 333,833.45.

The potential outcome indicates that full exercise of the warrants would lead to a dilution of approximately 5.4% in the company’s voting shares. This slight dilution aligns with the company’s overarching strategy to secure robust capital while maintaining its shareholder base.

As a reminder, holders of the series TO4 warrants need to act before their expiration dates to realize any value. Unsold or unexercised warrants as of April 1, 2025, will expire worthless, making it crucial for stakeholders to be proactive in exploring their options.

This guarantee commitment comes at a strategic time for Minesto, which specializes in marine energy technology, striving to alleviate the global carbon footprint associated with energy production. Established in 2007 and based in Gothenburg, Sweden, the firm has grown to become a pioneering force in renewable energy, recognized for developing the world's only verified marine power plant capable of operating efficiently in low-flow areas.

By securing this new commitment, Minesto not only fortifies its financial position but also underscores its dedication to driving innovation in sustainable energy solutions. The broader implications of this development extend beyond just capital raising; they reflect Minesto’s commitment to its long-term vision of pioneering marine technologies to produce renewable energy sustainably.

For further information about this commitment and other developments, stakeholders can visit Minesto's official website where the complete terms and the prospectus for the warrants series TO4 can be accessed. The deadline for the exercise of these warrants is approaching quickly, confirming the urgency for investors and stakeholders to act promptly.