Liontown Resources has received notice from LG Energy Solution to convert its entire US$250 million convertible note holding, including accrued interest, into approximately 239 million fully paid ordinary shares. The conversion, expected to be completed within five business days, will result in LG Energy Solution holding roughly 8 per cent of Liontown’s issued share capital. Liontown Resources is an Australian company focused on the development of lithium deposits. Lithium is a key component in batteries for electric vehicles and energy storage systems.
The effective conversion price is $1.62 per share, adjusted from the original $1.80 according to the note terms following Liontown’s August 2025 capital raise. This conversion eliminates the convertible note and associated interest costs from Liontown’s balance sheet. Following the conversion, Liontown’s debt will consist of the $300 million Ford facility and a $15 million loan from the WA State Government.
Liontown said the conversion simplifies its capital structure and creates additional balance sheet capacity. The company also highlighted its strong cash position of $390 million as of December 31, 2025. The conversion strengthens the company’s financial profile as it continues to develop its lithium projects. Liontown is developing the Kathleen Valley Project which will supply battery materials to LG Energy Solution.
