Australian heavy rare earths developer Northern Minerals Limited (ASX: NTU) wishes to:
- provide an update on the status of the Foreign Acquisitions and Takeovers (Disposal of Interests in Northern Minerals Limited) Orders 2024 published on the Federal Register of Legislation on 3 June 2024; and
- note the lodging of
- a Ceasing to be Substantial Shareholder Notice from the company’s previous largest shareholder, Yuxiao Fund Pte Ltd,
- two Initial Substantial Shareholder Notices, the first resulting from the acquisition by Qogir Trading & Service Co Limited of 500 million shares (~8.45%) in Northern Minerals from Yuxiao; the second notice by Hong Kong Ying Tak Limited outlining its total holding of 494,871,598 shares (~8.37%) mostly purchased through the orders process.
Northern Minerals refers to its ASX announcement Notice of Disposal Orders of Interests in Northern Minerals dated 3 June 2024, which announced that the Federal Treasurer, being satisfied of the matters in subsection 69(1A) of the Foreign Acquisitions and Takeovers Act 1975, had made an instrument outlining the requirement for five existing shareholders of the Company to divest a total of 613,573,632 shares in the company (approximately 10.4% of Northern Minerals’ issued capital) within a 60-day period from the date of the instrument.
This divestment process was requested by the Federal Treasurer. Northern Minerals was not a party to the execution of the orders. It is a matter for the Foreign Investment Review Board to confirm if the orders were complied with.
The orders required the five shareholders to have divested their respective shares by 2 September 2024. As at the close of business on 2 September 2024, Northern Minerals has been advised that a total of 448,537,944 of the shares the subject of the orders have been divested, with 165,035,638 remaining to be divested.
The company understands the holder of the remaining divestment shares is in the process of seeking to dispose its holding. Of the 448,537,944 shares divested, 361,538,264 shares were purchased by existing shareholder Hong Kong Ying Tak. This entity is now the registered holder of approximately 8.37% of shares in the company. The company notes the Initial Substantial Shareholder Notice lodged separate to this announcement outlining Hong Kong Ying Tak’s shareholding in the company.
Separately to the Federal Government-ordered share divestment process, Northern Minerals notes that its former largest shareholder Yuxiao has sold its remaining shareholding in the company (500 million shares) to Qogir Trading. Yuxiao ceases to be a shareholder of the company, as per its ASX disclosure today.
Qogir Trading has lodged its Initial Substantial Shareholder Notice today to disclose an interest in ~8.45% of shares in the company.
The company is in the process of seeking meetings with both its new significant shareholders Hong Kong Ying Tak and Qogir Trading.
