Overview of deconsolidation and special dividend

Li-S Energy Limited (ASX Code: LIS) will be deconsolidated from PPK Group Limited (ASX:PPK) as announced by PPK. This involves an in-specie distribution of approximately 26 million LIS shares to PPK shareholders. The deconsolidation will allow Li-S Energy to operate as an independent company, with PPK retaining a significant shareholding. Additionally, PPK has declared a special dividend, distributing LIS shares to its shareholders.

Executive commentary on deconsolidation and special dividend

Li-S Energy CEO Dr Lee Finniear expressed gratitude for PPK's support over the years, highlighting the company's evolution from a research startup to a customer and engineering-led manufacturer. Dr Finniear emphasized that Li-S Energy is now well-positioned to function as an independent entity. PPK's Managing Director Marc Fenton acknowledged the support provided to LIS by PPK and its shareholders, stating that the deconsolidation will simplify PPK's financials and allow a clearer focus on the performance of other group companies. Fenton also affirmed PPK's confidence in the long-term value of LIS, anticipating PPK to remain the largest shareholder post-deconsolidation.

Summary of deconsolidation and special dividend

Li-S Energy (ASX:LIS) is set to undergo deconsolidation from PPK Group, with approximately 26 million LIS shares to be distributed to PPK shareholders as a special dividend. This move will enable Li-S Energy to operate independently, while PPK will retain a significant shareholding. The deconsolidation is expected to simplify PPK's financials and allow a clearer focus on the performance of its other group companies. PPK remains optimistic about the long-term value of LIS and anticipates retaining its position as the largest shareholder post-deconsolidation.