Recent Updates
Recently added Catalysts
ATHE Neutral Sentiment Score: 60/100

Proposed issue of securities Announcement Summary Entity name ALTERITY THERAPEUTICS LIMITED Announcement Type New announcement Date of this announcement 22/11/2023 The Proposed issue is: A placement or other type of issu

Key Takeaway: Alterity Therapeutics Limited has announced a proposed issue of securities including short-dated options totaling approximately 1.37 billion and long-dated options of around 457 million. Additionally, 1.01 billion common shares are set for issuance. This initiative aims to raise capital, but it is contingent on receiving security holder approval by the end of December 2023, which introduces a degree of uncertainty. If approved, the new securities will be offered at specific exercise prices and terms on the ASX.

Market Sentiment Analysis

POSITIVE FACTORS

  • Proposed issuance of securities may provide additional capital for growth.
  • Multiple classes of securities targeted for issuance, indicating diversified funding approach.

CONCERNS & RISKS

  • Approval from security holders is required by 29/12/2023, which means uncertainty until then.
  • The issuance may affect existing shareholder value and result in dilution.

Full Press Release Details

ALTERITY THERAPEUTICS LIMITED
Date of this announcement
The Proposed issue is:
placement or other type of issue
Total number of +securities proposed to be issued
for a placement or other type of issue
ASX+security code +Security description Maximum Number of +securities to be issued
New class-code to be confirmed Short-dated option 1,371,428,571
New class-code to be confirmed Long-dated options 457,142,857
ATH ORDINARY FULLY PAID 1,008,965,809
Proposed +issue date
Refer to next page for full details of the announcement
ALTERITY THERAPEUTICS LIMITED
We (the entity named above) give ASX the following
information about a proposed issue of +securities and, if ASX agrees to +quote any of the +securities (including any rights) on a +deferred
settlement basis, we agree to the matters set out in Appendix 3B of the ASX Listing Rules.
If the +securities are being offered under a +disclosure
document or +PDS and are intended to be quoted on ASX, we also apply for quotation of all of the +securities that may be issued under
the +disclosure document or +PDS on the terms set out in Appendix 2A of the ASX Listing Rules (on the understanding that once the final
number of +securities issued under the +disclosure document or +PDS is known, in accordance with Listing Rule 3.10.3C, we will complete
and lodge with ASX an Appendix 2A online form notifying ASX of their issue and applying for their quotation).
1.2 Registered Number Type Registration Number
ABN 37080699065
Date of this announcement
1.6 The Proposed issue is:
placement or other type of issue
7A.1 Do any external approvals need to be obtained
or other conditions satisfied before the placement or other type of issue can proceed on an unconditional basis?
Approval/Condition Date for determination Is the date estimated or actual? ** Approval received/condition met?
+Security holder approval 29/12/2023 Estimated
Is the proposed security a New class' (+securities in a class that is not yet quoted or recorded by ASX) or an Existing class' (additional securities in a class that is already quoted or recorded by ASX)? Will the proposed issue of this +security include an offer of attaching +securities? Yes
Existing class
Details of +securities proposed to be
ASX +security code and description
ATH : ORDINARY FULLY PAID
Number of +securities proposed to be issued
Are the +securities proposed to be issued being
issued for a cash consideration?
In what currency is the cash consideration being paid? What is the issue price per +security?
AUD - Australian Dollar AUD 0.00350
Will these +securities rank equally in all respects
from their issue date with the existing issued +securities in that class?
Is the proposed attaching security a New class'
(+securities in a class that is not yet quoted or recorded by ASX) or an Existing class' (additional +securities in a class that is already
quoted or recorded by ASX)?
Attaching +Security - New class (+securities in a class that
is not yet quoted or recorded by ASX)
Details of attaching +securities proposed to be issued
ISIN Code (if Issuer is a foreign company and +securities
Have you received confirmation from ASX that the terms of the proposed +securities are appropriate and equitable under listing rule 6.1? Will the entity be seeking quotation of the new' class of +securities on ASX? No
No
ASX +security code +Security description
New class-code to be confirmed Short-dated option
Number of +securities proposed to be issued
Are the +securities proposed to be issued being issued
for a cash consideration?
Please describe the consideration being provided for the +securities
One (1) free attaching short-dated option issued for each
Placement share issued per Placement announcement 22 Nov 2023
Please provide an estimate of the AUD equivalent of
the consideration being provided for the +securities
Will all the +securities issued in this class rank
equally in all respects from their issue date?
AUD - Australian Dollar
Exercise price Expiry date
AUD 0.0070 31/8/2024
Details of the type of +security that will be issued
if the option is exercised
ATH : ORDINARY FULLY PAID
Number of securities that will be issued if the option is exercised
One ATH fully paid ordinary share
Please provide a URL link for a document lodged with ASX setting out the material terms
of the +securities proposed to be issued or provide the information by separate announcement.
Is the proposed security a New class' (+securities in a class that is not yet quoted or recorded by ASX) or an Existing class' (additional securities in a class that is already quoted or recorded by ASX)? Will the proposed issue of this +security include an offer of attaching +securities? No
New class
Details of +securities proposed to be issued
ISIN Code (if Issuer is a foreign company and +securities
Have you received confirmation from ASX that the terms of the proposed +securities are appropriate and equitable under listing rule 6.1? Will the entity be seeking quotation of the new' class of +securities on ASX?
No Yes
ASX +security code +Security description
New class-code to be confirmed Long-dated options
Number of +securities proposed to be issued
Are the +securities proposed to be issued being issued
for a cash consideration?
Please describe the consideration being provided for the +securities
One (1) free attaching long-dated option issued for each
three (3) Placement share issued per Placement announcement 22 Nov 2023
Please provide an estimate of the AUD equivalent of the consideration
being provided for the +securities
Will all the +securities issued in this class
rank equally in all respects from their issue date?
+Security currency Exercise price Expiry date
AUD - Australian Dollar AUD 0.0100 31/8/2026
Details of the type of +security that will be issued
if the option is exercised
ATH : ORDINARY FULLY PAID
Number of securities that will be issued if the option is exercised
One ATH fully paid ordinary share
Please provide a URL link for a document lodged with ASX setting out the material terms of the +securities
proposed to be issued or provide the information by separate announcement.
7D.1a Date of meeting or proposed meeting to approve
the issue under listing rule 7.1
7E.1 Will there be a lead manager or broker to the proposed issue?
Who is the lead manager/broker?
What fee, commission or other consideration is payable to them for acting as lead manager/broker?
7E.2 Is the proposed issue to be underwritten?
of any other material fees or costs to be incurred by the entity in connection with the proposed issue
7F.01 The purpose(s) for which the entity is issuing the securities
Will the entity be changing its dividend/distribution policy if the proposed issue proceeds?
other information the entity wishes to provide about the proposed issue

Frequently Asked Questions

What is the total number of securities proposed for issue?

The total proposed securities include 1,371,428,571 short-dated options, 457,142,857 long-dated options, and 1,008,965,809 ordinary fully paid shares.

What is the issue price of the ordinary shares?

The issue price for the ordinary fully paid shares is AUD 0.00350.

When is the proposed security holder approval date?

The proposed security holder approval date is estimated to be 29/12/2023.

Will new class securities be ranked equally?

The new class securities will rank equally with existing securities from their issue date.

Is there a lead manager for the proposed issue?

The announcement does not specify if there will be a lead manager or broker for the proposed issue.

Last updated: Nov 22, 2023