Bentley Capital Limited announcement overview

Bentley Capital Limited (ASX: $BEL) has completed the sale of its subsidiary, Scarborough Resources Pty Ltd (SCR), along with a portfolio of rare earth tenements located in Western Australia. The sale was finalized on 13 May 2024, resulting in the reinstatement of Bentley's shares to quotation on ASX.

Executive commentary on the sale of rare earth tenements

ASX has advised Bentley Capital Limited that the proposed activities through its subsidiary, SCR, would be inconsistent with its status as a listed investment company (LIC). As a result, Bentley has sold 100% of its shareholding in SCR to Lithium Energy Limited (ASX: $LEL) in exchange for an ongoing free carried royalty interest and a reimbursement of previous expenditure incurred by SCR. The Directors confirm that the consideration negotiated with LEL was appropriate and reflects the 'fair market value' for SCR/the Tenements.

Summary of Bentley Capital's rare earth tenement sale

Bentley Capital Limited has successfully disposed of its rare earth tenement portfolio through the sale of its subsidiary, Scarborough Resources Pty Ltd, to Lithium Energy Limited. The sale resulted in the reinstatement of Bentley's shares to quotation on ASX. The company's further investment activities will be consistent with its status as an LIC. The consideration received by Bentley for the sale includes an ongoing free carried royalty interest and a reimbursement of previous expenditure incurred by SCR. The Directors have determined that maintaining the carrying value of the Tenements was not warranted, leading to the disposal of all of its interest in the Tenements.