Magnis Energy Technologies Limited: Secures A$20 Million Funding from US Institutions

Sydney, Australia - Magnis Energy Technologies Ltd. (ASX:MNS) (OTCMKTS:URNXF) (FRA:U1P) is pleased to announce that it has secured a total of A$20 million in funding from two US-based institutions The Lind Partners and SBC Global Investment Fund (together, the "Investors") which will assist the Company with its aggressive growth plans in the lithium-ion battery industry.

- A$20 Million Convertible Note ("Facility") funded by US-based institutions The Lind Partners and SBC Global Investment Fund

- Magnis to immediately invest US$13 million (equivalent to approximately A$17.6 million) into iM3NY to provide further equity for future expansion plans

- iM3NY in final stages to sign a mandate to begin US listing process

John Hancock, Senior Advisor to The Lind Partners, commented: "We are very pleased to fund Magnis Energy Technologies, an innovative Australian company focusing on producing green high performing lithium-ion batteries and developing technologies for rapid charging. The global lithium-ion battery market is expected to grow at a compound annual growth rate (CAGR) of 15% from 2020 to 2026, and US$41.1 billion in 2021 to US$116.6 billion by 2030. Companies that can deliver better-performing batteries at scale will be rewarded with market share, and we look forward to being part of Magnis' journey in this space."

The Company has received A$20m by way of a Facility with a summary of key terms set out in Annexure A*.

The initial issue of securities under (or in connection with the provision of) the Facility falls within the Company's existing capacity under ASX Listing Rule 7.1 and lodgement of the Appendix 3B, Appendix 2A and cleansing notice will follow3.

After considering all the funding options available to the Company including pure equity options and hybrids, the board believes the Facility was the most beneficial to shareholders, especially in relation to its modest dilutionary impact. Both The Lind Partners and SBC Global Investment have significant reach in the investment community in New York and Australia which was very attractive to the board. On conducting a peer review analysis, the Company believes there will be a significant revaluation to its value once a listing takes place for iM3NY in the US.

iM3NY Investment, US Listing and Use of Funds

US$13 million has been invested by Magnis into iM3NY to assist with further expansion plans and the potential listing in the United States on either the Nasdaq or NYSE. The board of iM3NY has reviewed several groups with significant experience in US Listings, with a mandate expected to be signed in the near future. Guidance to date expects a listing to be completed in late 2021 on the provision of all necessary approvals being received. Further details will be provided in due course.

Funds will also be used for general working capital, including to advance early works with the Nachu Graphite Project, along with any support required towards the Townsville Battery Plant.

Magnis Chairman Frank Poullas commented: "We are encouraged by the commitment shown by The Lind Partners and SBC Global Investment Fund in Magnis and for the support of our vision."

"Both institutions are based in New York, and it's great to have significant interest from both funds in our New York Lithium-ion Battery Plant."

"We would like to thank Evolution Capital for their support in completing this transaction."

*To view annexure, tables and figures, please visit:
https://abnnewswire.net/lnk/3XECERYA

About Magnis Energy Technologies Limited:

Magnis Energy Technologies Ltd. (ASX:MNS) (OTCMKTS:URNXF) (FRA:U1P) aims to become a leading global producer of next-generation green credentialed Lithium-Ion Battery (LIB) cells, enabling the future energy requirements of the world, the global storage of renewable energy and electrification of transportation.

Leveraging off a world class graphite asset in Tanzania, associated production IP and a strategy partnership with US based Charge CCV, Magnis will manage an end to end supply chain, sourcing the raw materials and associated technologies for these cells.

Magnis has three core areas of focus which provide the Company with a strategic advantage; battery technologies, gigafactories and graphite.

Source:
Magnis Energy Technologies Ltd.

Contact:

Frank Poullas Executive Chairman Ph: +61 2 8397 9888