Highlights

• 1414 Degrees has announced a non-renounceable pro-rata bonus offer of 1 Loyalty Option for every 40 fully paid ordinary shares held by eligible shareholders.

• The Loyalty Options will be issued at a nil issue price, with an exercise price of AUD 0.18 and an expiry date of 9 July 2030.

• Eligible shareholders must be on the register at 7.00pm AEST on Thursday, 2 July 2026.

• Up to 15,397,240 Loyalty Options may be issued under the Loyalty Options Offer, assuming no existing convertible securities are exercised before the record date.

• The company has also outlined details of its June Placement Offer, which may raise up to approximately AUD 8.45mn before costs.

1414 Degrees Limited (ASX:14D) has announced a non-renounceable pro-rata bonus Loyalty Options Offer for eligible shareholders, providing 1 new option for every 40 fully paid ordinary shares held at the record date. The offer will be made at a nil issue price and is designed to recognise eligible shareholders for their continued support and provide an opportunity to participate in the company’s potential future development.

During the morning session on 26 June 2026, 1414 Degrees shares traded at AUD 0.099, up 2.06% or AUD 0.0020. Over the past year, the stock has gained 395.00%, rising by AUD 0.08. The latest company update focuses on the structure of the Loyalty Options Offer, related placement options, capital structure changes and proposed use of funds from the June Placement.

About 1414 Degrees

1414 Degrees is developing an integrated clean-energy and industrial decarbonisation platform across grid-scale storage, industrial heat, hydrogen and advanced battery materials. The company’s technology platform is built around the use of silicon to store, convert and enhance energy across multiple sectors.

Its key technologies include SiNTL, a silicon-enhanced anode material designed to increase lithium-ion battery energy density while remaining compatible with existing production processes; SiBrick, a silicon-based thermal energy storage media used in long-duration energy storage systems; SiBox, an industrial heat-as-a-service solution that converts low-cost renewable electricity into dispatchable high-temperature heat; and SiPHyR, a silicon-based methane pyrolysis reactor designed to produce low-emissions hydrogen and solid carbon using renewable energy sources.

The company also holds a 50% interest in the Aurora Energy Precinct in South Australia. Aurora is a 16km² development-ready energy and industrial site in the Upper Spencer Gulf Renewable Energy Zone. The site is designed to support firmed renewable electricity and co-located high-demand users, with grid access, development approvals and proximity to fibre infrastructure. Its Stage 1 project includes a 140 MW / 280 MWh Battery Energy Storage System, which the company describes as a near-term revenue opportunity.

Bonus Loyalty Options Offer Targets Eligible Shareholders

Under the Loyalty Options Offer, eligible shareholders will receive 1 Loyalty Option for every 40 fully paid ordinary shares held as at 7.00pm AEST on Thursday, 2 July 2026. The Loyalty Options will be issued for nil consideration, meaning eligible shareholders are not required to pay an issue price to receive them.

Each Loyalty Option will carry an exercise price of AUD 0.18 and will expire on 9 July 2030. 1414 Degrees also intends to apply to the ASX for quotation of the Loyalty Options.

The offer is non-renounceable, meaning entitlements cannot be transferred or sold to another party. Eligible shareholders also do not need to take any action to receive their entitlement. Since the offer is a pro-rata bonus issue of options for nil consideration, no application form is required.

The company said the offer is being made to shareholders registered at the record date who have an address in Australia or New Zealand, or who are otherwise considered eligible by the company. Shareholders in the United States, or those acting for the account or benefit of a person in the United States, are excluded.

Assuming no existing options or other convertible securities are exercised or vest into shares before the record date, the company may issue up to 15,397,240 Loyalty Options. Any fractional entitlement will be rounded down to the nearest whole option.

No Shareholder Approval Required For Loyalty Options

1414 Degrees stated that the issue of Loyalty Options under the offer is not conditional on shareholder approval. The issue will also not count towards the company’s placement capacity under ASX Listing Rules 7.1 or 7.1A, as it falls under an exemption in Listing Rule 7.2.

The company’s directors will automatically take up their full entitlements under the Loyalty Options Offer. The issue of Loyalty Options to participating directors will not require prior shareholder approval under Listing Rule 10.11, as the company said it falls under an exemption in Listing Rule 10.12.

Further details of the Loyalty Options Offer have been set out in the prospectus lodged with ASIC and ASX on Friday, 26 June 2026.

Other Offers Included In Prospectus

Alongside the Loyalty Options Offer, the prospectus also includes several other offers previously announced by the company. These include the March Placement Options Offer, March Lead Manager Options Offer, June Placement Offer and June Lead Manager Options Offer.

The March Placement Options Offer involves up to 185,327,586 new options. These options are on the same terms as the company’s existing quoted options, exercisable at AUD 0.05 per option and expiring on 29 January 2028. They are being offered on the basis of 1 free attaching March Option for every 1 share subscribed for and issued under the company’s March placement.

The March Lead Manager Options Offer involves up to 111,196,552 new options to Oakley Capital Partners Pty Ltd, or its nominees. These options are also on the same terms as the March Options and are offered on the basis of 0.6 of a March Lead Manager Option for every 1 March Option issued under the March placement, subject to fractional rounding.

The June Placement Offer includes up to 84,570,435 new shares to raise up to approximately AUD 8.45mn before costs. These shares will be issued at AUD 0.10 per June Share. Participants will also receive 1 free attaching new option for every 2 June Shares subscribed for and issued, subject to fractional rounding. These June Options will be on the same terms as the Loyalty Options.

The June Lead Manager Options Offer includes up to 48,862,918 new options to the Lead Manager, or its nominees. These options will also be on the same terms as the Loyalty Options and June Options. They are offered on the basis of 0.65 of a June Lead Manager Option for every 1 June Share issued under the June Placement Offer, excluding June Shares subscribed for by and issued to the Lead Manager.

June Placement To Raise Up To AUD 8.45mn

1414 Degrees has outlined the proposed use of funds from the June Placement, assuming all 84,570,435 June Shares are issued and approximately AUD 8.45mn is raised before costs.

The largest allocation is planned for the Aurora Precinct Development, with AUD 4.50mn earmarked for that area. A further AUD 1.00mn is proposed for SiNTL commercialisation. Offer costs are expected to account for AUD 0.65mn, while AUD 2.30mn is allocated to general working capital.

The company also noted that the offer costs do not include Oakley Capital Partners’ out-of-scope corporate fees of AUD 939,671.50 for corporate advisory and business development services, additional marketing, promotion and general structural advice. These fees will be offset through Oakley’s subscription for up to 9,396,715 June Shares and attaching June Options under the June Placement Offer.

Potential Option Exercises Could Raise Additional Funds

1414 Degrees also provided details on the potential funds that may be raised if the new options are exercised before their respective expiry dates.

If all 296,524,138 March Options and March Lead Manager Options are exercised before their expiry date of 29 January 2028, the company would raise AUD 14,826,206.90.

Separately, if all 106,545,376 Loyalty Options, June Options and June Lead Manager Options are exercised before their expiry date of 9 July 2030, the company would raise AUD 19,178,168.

In total, if all 403,069,514 new options are exercised before their respective expiry dates, 1414 Degrees would raise AUD 34,004,374.58.

The company said the use of funds from any future option exercises will depend on the timing of exercise and the status of its activities and funding requirements at that time. Potential uses include advancing the Aurora Energy Precinct, completing requirements to access the 275kV transmission line for the grid-scale Battery Energy Storage System project, accelerating SiNTL silicon nanoparticle anode commercialisation, supporting initiatives in data centre and energy-intensive industries, and meeting general working capital needs.

Capital Structure To Change After Offers

The company also detailed the expected effect of the offers on its capital structure, assuming the maximum number of new shares and options are issued.

As at the date of the prospectus, 1414 Degrees had 607,199,940 shares and 34,904,762 options on issue. A further 8,689,655 remaining March Shares are expected to be issued to March Placement participants.

Under the Loyalty Options Offer, up to 15,397,240 Loyalty Options may be issued. The March Placement Options Offer may add 185,327,586 options, while the March Lead Manager Options Offer may add 111,196,552 options.

The June Placement Offer may result in the issue of 84,570,435 new shares and 42,285,218 options. The June Lead Manager Options Offer may add another 48,862,918 options.

Following completion of the offers on the maximum issue assumptions, the company’s securities on issue would total 700,460,030 shares and 437,974,276 options.

Key Dates For Shareholders

The prospectus was lodged with ASIC and ASX before 10.00am AEST on Friday, 26 June 2026, alongside the announcement of the Loyalty Options Offer and Appendix 3B.

The March Placement Options Offer, March Lead Manager Options Offer, June Placement Offer and June Lead Manager Options Offer are scheduled to open on Monday, 29 June 2026.

The March Placement Options Offer and March Lead Manager Options Offer are expected to close at 5.00pm AEST on Monday, 29 June 2026. The anticipated issue date for the March Options and March Lead Manager Options is before 12.00pm AEST on Tuesday, 30 June 2026.

The ex-date for the Loyalty Options Offer is Wednesday, 1 July 2026. Unless otherwise determined by the ASX, the Loyalty Options will trade on a deferred settlement basis from market open on that date.

The June Placement Offer and June Lead Manager Offer are scheduled to close at 5.00pm AEST on Wednesday, 1 July 2026. The record date for determining shareholder eligibility for the Loyalty Options Offer is 7.00pm AEST on Thursday, 2 July 2026.

The anticipated issue date for June Shares is Friday, 3 July 2026. Loyalty Options are expected to be issued before 12.00pm AEST on Thursday, 9 July 2026, with the company also planning to lodge an Appendix 2A applying for official quotation of the Loyalty Options.

The June Options and June Lead Manager Options are expected to be issued on Friday, 10 July 2026, while the anticipated official quotation date for the Loyalty Options is also Friday, 10 July 2026. The expected official quotation date for the June Securities and June Lead Manager Options is Monday, 13 July 2026.

The company noted that the timetable is indicative and may change, including the possibility of closing offers early, extending closing dates, accepting late applications or cancelling offers before securities are issued.

What This Means For Investors

1414 Degrees’ latest update gives shareholders clarity on the company’s bonus Loyalty Options Offer and the broader capital program linked to its March and June offers. The Loyalty Options provide eligible shareholders with an additional security at no issue cost, with an exercise price of AUD 0.18 and expiry in July 2030.

The broader funding update also provides details on how the company intends to apply proceeds from the June Placement, with AUD 4.50mn directed toward Aurora Precinct Development and AUD 1.00mn proposed for SiNTL commercialisation. If future option exercises occur, the company may receive additional funding to support the Aurora Energy Precinct, the grid-scale Battery Energy Storage System project, SiNTL commercialisation and working capital.

For investors, the update is mainly focused on shareholder entitlements, capital structure and future funding flexibility. The full effect will depend on completion of the offers, future option exercises and the company’s execution across Aurora, SiNTL and its wider clean-energy technology platform.