• Fully underwritten placement to raise ~A$266m at A$0.73 per share
• National Reconstruction Fund Corporation investing A$50m as cornerstone investor
• Opportunity for existing shareholders to participate in a Share Purchase Plan to raise up to A$20m

Liontown Resources Limited (ASX:LTR) is pleased to announce the launch of a fully underwritten institutional placement to raise ~A$266m at an issue price of A$0.73 per share. In addition, the company will invite existing eligible shareholders to participate in a non-underwritten Share Purchase Plan to raise up to a further A$20m. Proceeds from the capital raising will be used to fortify Liontown's balance sheet, provide a prudent liquidity buffer, support the ramp-up and underground transition of the Kathleen Valley Lithium Operation, and fund general corporate purposes. The placement is fully underwritten and includes a A$50m investment from the National Reconstruction Fund Corporation as a cornerstone investor. The capital raising has been sized to ensure resilience across a range of lithium price environments and unlock flexibility for Liontown to pursue low-cost, high return opportunities to maximise value. All members of Liontown's Board of Directors intend to participate in the Share Purchase Plan.

Liontown has the ability for early repayment of its debt in the event of a price recovery and surplus cash generation.

Liontown is well placed to remain resilient in this low-price environment whilst retaining flexibility to pursue low-cost, high return opportunities to maximise value. The company has preserved optionality over its growth options including the potential expansion of Kathleen Valley to 4Mtpa which, currently, remains subject to improving market conditions.