ASX Escrow Watch: Which lithium and resources companies are releasing shares?
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Escrow Watch is Stockhead’s recap of the ASX companies that are releasing shares currently in escrow (also known as restricted securities) over the coming weeks.
ASX shares in escrow are “locked away” and not listed on the bourse so owners can’t sell them – until they’re released.
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’t raising capital just so they can “sell out”.
While there’s no guarantee holders of escrowed shares will sell at that point, the mere fact that they will be able to is worth knowing – particularly if shares have substantially moved one way or the other.
Click here 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 August and into September.
Lithium play Voltaic Strategic Resources (ASX:VSR) will release 31,803,677 fully paid ordinary shares and 96,124,305 unlisted options with an expiry price of 3 cents/share expiring on October 5 2025.
VSR says it will apply to have the ordinary fully paid shares quoted. The company also advises that 81,946,323 fully paid shares remain subject to mandatory and voluntary escrow until October 5, 2024, while further unlisted options remain subject to mandatory and voluntary escrow.
VSR last month announced numerous thick pegmatites have again been intersected in drilling at the southern extension of its Ti Tree lithium project in WA’s Gascoyne region.
High-Tech Metals (ASX:HTM) will release 90,000 ordinary shares and 90,000 unlisted options exercisable at 25 cents each on or before January 19, 2026.
HTM says it will apply to have the shares and options quoted. The company says that 8,088,552 fully paid ordinary shares remain subject to mandatory escrow until January 23, 2025.
HTM is focused on exploration and development of its flagship, 100% owned Werner Lake Cobalt Project located in northwestern Ontario.
The project was acquired from Canadian listed Global Energy Metals Corporation (GEMC) and Marquee Resources (ASX:MQR).
HTM also recently increased its exposure to nickel sulphides and copper through the acquisition of the Norpax Nickel Sulphide Deposit and the Reynar Lake Ni-Cu-Co Project. The projects adjoin the Werner Lake Cobalt Project.
Besra Gold (ASX:BEZ) will release 53,127,907 CDIs, imposed to escrow since the time the company was admitted to the ASX on October 8, 2021.
BEZ will apply for quotation of the CDIs, which according to their announcement were issued as follows:
BEZ recently announced it had agreed to sell to Quantum a quantity of refined gold from the Bau Gold Project, up to 3,000,000oz or a value of US$300,000,000, whichever comes first.
DGL Group (ASX:DGL) will release 3,621,495 quoted fully paid ordinary shares from voluntary escrow on 10 October 2023.
The shares were issued to vendors as part consideration for the acquisitions of BTX & Aquadex, and subject to a voluntary escrow period of 12 months.
DGL is a diversified industrial group, specialising in the manufacture, transport, storage of chemicals and processing of hazardous waste.
Embattled fertility company Monash IVF (ASX:MVF) will release 515,774 fully paid ordinary shares currently held under voluntary escrow.
MVF says the release of escrow shares does not change the issued capital of the company and 12,851,273 fully paid ordinary shares remain held under voluntary escrow.
The company is currently facing a class legal action from patients accusing the company of using their embryos for experimentation without consent, forging signatures and burning documents.
MVF is one of Australia’s oldest and largest fertility companies.
RemSense Technologies (ASX:REM) says it will release 48,304,559 fully paid ordinary shares (ASX code REMAA) on October 27.
The company will also release 1,500,000 unlisted options (ASX code REMAE) with an expiry of June 30, 2024 on October 27 and a further 1,609,881 unlisted options (REMAG) with an expiry of June 30, 2025 on November 2.
REM will apply for quotation of the fully paid ordinary shares.
The company this week announced it had won a Woodside Energy Group (ASX:WDS) contract to deploy its virtualplant technology to create a photogrammic digital twin of one of WDS’ floating production storage and offloading (FPSO) vessels.
The contract revenue is $246,440 which includes operational data capture and a 12-month virtualplant subscription.
The work is scheduled to start calendar Q1 2024. This is the third FPSO contract awarded to RemSense in the last 12 months.
“The award of this contract reinforces the strong relationship between RemSense and Woodside,” REM CEO Warren Cook says.
“It’s further evidence of Woodside’s recognition of the benefits virtualplant delivers to their business.”