Brazilian Rare Earths Limited (ASX: BRE) announced on 5 June 2026 the issuance of documents for the proposed demerger of Alurion Resources Limited. Brazilian Rare Earths is an ASX-listed company focused on the exploration and development of rare earth and critical minerals projects in Brazil. Concurrently, Alurion Resources (ALU), a new entity controlling the Amargosa Bauxite–Gallium Project, lodged its IPO prospectus with ASIC, aiming to establish itself as a distinct bauxite and critical minerals development company.
The demerger plan involves BRE distributing 80.1% of Alurion shares (pre-IPO) to eligible BRE shareholders pro-rata, approximately 0.5607 Alurion shares for each BRE share held at the in-specie record date. Alurion’s IPO seeks to raise between A$30 million and A$50 million by offering 28,571,429 to 47,619,048 Alurion shares at A$1.05 per share. The offering includes a Pro-Rata Priority Offer for eligible BRE shareholders, alongside a Shortfall Offer.
Bernardo da Veiga, Managing Director and CEO of Brazilian Rare Earths, stated the demerger and IPO represent a “value-creation event” for shareholders. This initiative aims to unlock the Amargosa project’s potential under a dedicated Alurion entity with its own leadership and capital structure. This strategic separation also allows BRE to sharpen its focus on advancing its rare earth and critical minerals portfolio, including its Scoping Study.
Eligible BRE shareholders can vote on the Demerger Resolution at the General Meeting on 10 July 2026. They may also apply for Alurion Shares under the Priority Offer, which opens 15 June 2026 and closes 29 June 2026. Subject to approval, the in-specie distribution of Alurion shares is scheduled for 23 July 2026, with Alurion’s expected admission to the Official List of ASX on 29 July 2026.
