REG - Aterian PLC - Convertible Loan Notes, Warrants, Debt Redemption

AterianAnnouncement

19/05/2026 10:00

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RNS Number : 9085E  Aterian PLC  19 May 2026

19 May 2026

 

Aterian Plc

("Aterian" or the "Company")

 

Convertible Loan Notes, Warrants, Debt Redemption

Aterian Plc (LSE: ATN), the Africa-focused critical minerals exploration,
development and trading company, is pleased to announce a strategic
refinancing initiative to support the continued growth of the Group's
revenue-generating trading operations, optimise its capital structure and
advance broader corporate development initiatives.

The Company has entered into subscription agreements with new and existing
shareholders for the issue of unsecured zero-coupon Convertible Loan Notes
("CLNs") with a principal amount of £300,000. The CLNs will automatically
convert into new Ordinary Shares of 10 pence each in the capital of the
Company ("Ordinary Shares") at a conversion price of 25 pence per Ordinary
Share on 31 December 2026 resulting in a total of 1,200,000 new Ordinary
Shares being issued.

Lower Cost Funding - Use of Capital

Aterian has agreed to utilise approximately £80,000 of the proceeds to
acquire previously issued 12% PIK Bonds issued by the Company, and £150,000
for the repayment of mezzanine trading capital loans, currently paying 20% per
annum. The Board notes that the financing significantly reduces interest
expense and provides the Company with additional flexibility to continue
advancing its growth strategy while minimising near-term cash outflows and
preserving operational momentum. The proceeds of the subscription will also be
used to expand Aterian's revenue-generating mineral trading operations in
Rwanda.

 

In connection with the CLN financing, the Company has agreed to issue warrants
over new Ordinary Shares (the "Warrants") and will issue 600,000 Series 29
Warrants, representing 50% warrant coverage. The Series 29 Warrants attached
to the CLNs will expire on 15 February 2028, and carry an exercise price of
32.5 pence per Ordinary Share and a 50 pence per Ordinary Share hard call
feature (subject to the share price exceeding 50 pence per Ordinary Share for
a period of three (3) consecutive trading days), intended to provide investors
with additional participation in future upside while aligning long-term
interests with the Company's broader shareholder base.

Executive Chairman, Charles Bray, commented:

 

"This financing represents a strategically important step in Aterian's
continued development as we build a diversified African critical minerals
platform combining near-term revenues with substantial long-term exploration
and development potential.

 

Importantly, this transaction further strengthens our capital structure by
replacing higher-cost funding with more efficient capital, reflecting our
continued focus on disciplined capital allocation and prudent balance sheet
management. We believe maintaining capital discipline is particularly
important in the current volatile market environment, and we remain focused on
deploying capital toward initiatives capable of generating attractive
long-term returns for shareholders.

 

Our Rwanda trading activities continue to demonstrate increasing strategic
importance within the Group, not only as a source of growing revenues but also
as an operating platform capable of supporting broader development activities
across our portfolio. By strengthening our working capital position and
lowering financing costs, we believe we are creating a stronger foundation
from which to continue scaling operations and enhancing overall business
performance.

 

Combined with our exploration portfolio across Rwanda, Morocco and Botswana,
we believe Aterian is increasingly establishing a differentiated position
within the African critical minerals sector, with exposure to both near-term
operational growth and long-term value creation opportunities. We remain
focused on executing our strategy with financial discipline while continuing
to build sustainable shareholder value."

 

Rwanda mineral trading

Aterian's Rwanda trading division continues to demonstrate strong operational
progress, with growing revenues from the trading of tin, tantalum and niobium
concentrates.  As such, the Company is seeking to move to a new 500 sq metre
industrial site for expanded operations, expand local trading and marketing
capabilities, implement a new CTRM software system and advance the development
of Eastinco's HCK project to support dedicated tantalum supply initiatives.

The Company's existing in-country operating platform, logistics network, and
local partnerships have enabled Aterian to establish an increasingly scalable,
revenue-generating trading business designed to support exploration and
development activities across the broader group portfolio. The previously
announced trade finance partnership is expected to increase throughput
capacity, improve working capital efficiency and has the potential to support
stronger operating margins.

Outlook - Strengthening Foundations for Growth

Aterian's strategy is to develop and monetise critical mineral assets across
Rwanda, Morocco and Botswana, with a particular focus on copper and lithium.
The Company's exploration and development activities are complemented by a
revenue-generating trading business, enabling Aterian to balance near-term
cash flow with long-term project value.

The Company believes the combination of near-term trading revenues, strategic
exploration exposure and technology-enabled operational optimisation provides
a differentiated growth platform within the African critical minerals sector.

Community and Environmental Responsibility

Aterian remains committed to responsible and transparent operations across its
exploration and trading activities. The Company operates in alignment with the
OECD Due Diligence Guidance for Responsible Mineral Supply Chains and applies
traceability procedures consistent with the Responsible Minerals Initiative
(RMI).

Through its subsidiary Eastinco Ltd, Aterian is a member of the ITSCI
Programme (International Tin Supply Chain Initiative), supporting
internationally recognised standards for the responsible sourcing and
traceability of tin, tantalum and tungsten minerals sourced from
conflict-affected and high-risk areas.

Environmental stewardship, community engagement and high operational standards
remain central to the Company's activities, including ongoing investments in
local partnerships, education initiatives, infrastructure support and health
and safety practices across its areas of operation.

- ENDS -

 

This announcement contains information which, prior to its disclosure, was
inside information as stipulated under Regulation 11 of the Market Abuse
(Amendment) (EU Exit) Regulations 2019/310 (as amended).

 

Engage directly with the Aterian PLC management team by asking questions,
watching video summaries, and seeing what other shareholders have to say.
Please navigate to our interactive investor hub here:
https://aterianplc.com/s/fcf8eb (https://aterianplc.com/s/fcf8eb)

 

For further information, please visit the Company's website:
www.aterianplc.com (http://www.aterianplc.com) or contact:

 

Aterian Plc:

Charles Bray, Executive Chairman - charles.bray@aterianplc.com
(mailto:charles.bray@aterianplc.com)

Simon Rollason, Director - simon.rollason@aterianplc.com
(mailto:simon.rollason@aterianplc.com)

 

Financial Adviser and Joint Broker:

AlbR Capital Limited

David Coffman / Dan Harris

Colin Rowbury

Tel: +44 (0)207 7469 0930

 

Joint Broker:

SP Angel Corporate Finance LLP

Ewan Leggat / Devik Mehta

Tel: +44 20 3470 0470

 

Financial PR:

Bald Voodoo - ben@baldvoodoo.com

Ben Kilbey

Tel: +44 (0)7811 209 344

Notes to Editors:

About Aterian plc

www.aterianplc.com (http://www.aterianplc.com)

 

Aterian plc is an LSE-listed exploration and development company with a
diversified African portfolio of critical metals projects.

Aterian plc is actively seeking to acquire and develop new critical metal
resources to strengthen its existing asset base while supporting ethical and
sustainable supply chains as the world transitions to a sustainable, renewable
future. The supply of these metals is vital for developing the renewable
energy, automotive, and electronic manufacturing sectors, which are
increasingly important in reducing carbon emissions and meeting global climate
ambitions.

 

Aterian has a portfolio of multiple copper-silver (+gold) and base-metal
projects in Morocco. Aterian holds a 90% interest in Atlantis Metals, a
private Botswana-registered company holding eleven mineral prospecting
licences for copper-silver in the world-renowned Kalahari Copperbelt and three
for lithium and salt brine exploration in the Makgadikgadi Pans region. The
Company also holds an exploration licence in southern Rwanda, where it is
evaluating the tantalum and niobium opportunity, in addition to further
exploring for pegmatite-hosted lithium.

 

The Company's strategy is to seek new exploration and production opportunities
across the African continent and to develop new sources of critical mineral
assets for exploration, development, and trading.

 

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