Standard Lithium Closes $130 Million Underwritten Public Offering

Rhea-AI Summary

Standard Lithium (TSXV: SLI; NYSE.A: SLI) closed an underwritten public offering on Oct 20, 2025, selling 29,885,057 common shares at US$4.35 per share for aggregate gross proceeds of approximately US$130 million. The offering was led by Morgan Stanley and Evercore ISI with a syndicate of underwriters and included a 30-day option to purchase up to 4,482,758 additional shares at the same price. Net proceeds are intended to fund capital expenditures at the South West Arkansas and Franklin projects, plus working capital and general corporate purposes. Prospectus materials are filed on SEDAR+ and SEC EDGAR.

Positive

• Gross proceeds of approximately US$130 million
• 29,885,057 shares issued at US$4.35 per share
• Proceeds earmarked for capital expenditures at South West Arkansas and Franklin projects

Negative

• Immediate shareholder dilution from issuance of 29,885,057 new shares
• Potential additional dilution if underwriters exercise option for up to 4,482,758 shares within 30 days

Insights

Capital markets analyst

Standard Lithium completed a US $130 million underwritten equity offering to fund project capex and general corporate needs.

Standard Lithium raised approximately US $130 million by selling 29,885,057 common shares at US $4.35 per share, with an underwriter option for up to 4,482,758 additional shares for 30 days. The company states it will allocate net proceeds to capital expenditures at the South West Arkansas Project and the Franklin Project and to working capital and general corporate purposes. The deal used a syndicate led by Morgan Stanley and Evercore ISI and was registered via prospectus supplements in Canada and the United States.

The immediate business mechanism is balance-sheet strengthening through equity issuance to fund near-term capital needs at two named projects. This reduces near-term liquidity risk tied to those capital expenditures but dilutes existing shareholders. Key dependencies include the exercise (or not) of the underwriters’ 30-day option and the company’s ability to deploy proceeds efficiently into the two projects as described.

Watch for three concrete items in the next 30–180 days: whether the underwriters exercise the option within 30 days, detailed use-of-proceeds disclosures or project capex schedules in upcoming filings, and any follow-up operational milestones or permitting updates for the South West Arkansas Project and the Franklin Project. These items will clarify capital sufficiency and the pace of project spending for the coming quarters.

VANCOUVER, British Columbia, Oct. 20, 2025 (GLOBE NEWSWIRE) -- Standard Lithium Ltd. (“Standard Lithium” or the “Company”) (TSXV: SLI) (NYSE.A: SLI), a leading near-commercial lithium company, has closed its previously announced underwritten public offering (the “Offering”) of 29,885,057 common shares (the “Common Shares”) at a price of US $4.35 per Common Share (the “Issue Price”) for aggregate gross proceeds to the Company of approximately US $130 million.

The Offering was conducted through a syndicate of underwriters led by Morgan Stanley and Evercore ISI as co-lead book-running managers and included BMO Capital Markets, as a book-running manager, Canaccord Genuity, Raymond James, Roth Capital Partners and Stifel (together, the “Underwriters”).

The Company has granted the Underwriters an option to purchase up to 4,482,758 additional Common Shares at the Issue Price, exercisable, in whole or in part, for up to 30 days after the closing of the Offering.

The Company intends to use the net proceeds from the Offering to fund capital expenditures at the South West Arkansas Project and the Franklin Project in East Texas (each, as defined in the Prospectus Supplement (as defined below)), and for working capital and for general corporate purposes.

In connection with the Offering, the Company filed, with the securities commissions in all of the provinces and territories of Canada, a final prospectus supplement (the “Prospectus Supplement”) to the Company’s existing base shelf prospectus (the “Base Shelf Prospectus”) filed with the securities commissions in each of the provinces and territories of Canada, and filed a final prospectus supplement in the United States (the “U.S. Prospectus Supplement”, together with the Prospectus Supplement, the “Prospectus Supplements”) to the Company’s existing base shelf prospectus (the “U.S. Base Shelf Prospectus”, together with the Base Shelf Prospectus, the “Base Shelf Prospectuses”) forming part of an effective registration statement on Form F-10 (File No. 333-289110) (the “Registration Statement”) filed with the U.S. Securities and Exchange Commission (“SEC”) under the U.S./Canada Multijurisdictional Disclosure System.

The Offering was made in the United States and in each of the provinces and territories of Canada, except Quebec. The Prospectus Supplements, the Base Shelf Prospectuses and the Registration Statement contain important information about the Company and the proposed Offering. Prospective investors should read the Prospectus Supplements, the Base Shelf Prospectuses and the Registration Statement and the documents incorporated by reference therein before making an investment decision. The Prospectus Supplement (together with the related Base Shelf Prospectus) is available on SEDAR+ at www.sedarplus.ca. The U.S. Prospectus Supplement (together with the Registration Statement) is available on the SEC’s website at www.sec.gov. Alternatively, the Prospectus Supplement (together with the related Base Shelf Prospectus) may be obtained upon request by contacting Morgan Stanley Canada Limited: Morgan Stanley and Co. LLC, 180 Varick St, 2nd Floor, or BMO Nesbitt Burns Inc., Brampton Distribution Centre C/O The Data Group of Companies, 9195 Torbram Road, Brampton, Ontario, L6S 6H2 by telephone at 905-791-3151 Ext 4312 or by email at torbramwarehouse@datagroup.ca, and the U.S. Prospectus Supplement (together with the Registration Statement) may be obtained upon request by contacting Morgan Stanley & Co. LLC: 180 Varick St, 2nd Floor, or Evercore Group L.L.C.: Equity Capital Markets, 55 East 52nd Street, 35th Floor, New York, NY 10055, by telephone at (888) 474-0200 or by e-mail at ecm.prospectus@evercore.com.

This news release does not constitute an offer to sell or the solicitation of an offer to buy securities, nor will there be any sale of the securities in any province, territory, state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such province, territory, state or jurisdiction.

About Standard Lithium Ltd.

Standard Lithium is a leading near-commercial lithium development company focused on the sustainable development of a portfolio of large, high-grade lithium-brine properties in the United States. The Company prioritizes projects characterized by high-grade resources, robust infrastructure, skilled labor, and streamlined permitting. Standard Lithium aims to achieve sustainable, commercial-scale lithium production via the application of a scalable and fully integrated Direct Lithium Extraction and purification process. The Company’s flagship projects are located in the Smackover Formation, a world-class lithium brine asset, focused in Arkansas and Texas. In partnership with global energy leader Equinor, Standard Lithium is advancing the South West Arkansas project, a greenfield project located in southern Arkansas, and actively advancing a promising lithium brine resource position in East Texas.

Standard Lithium trades on both the TSX Venture Exchange (the “TSXV”) and the NYSE American, LLC under the symbol “SLI”.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

Investor Inquiries

Daniel Rosen
+1 604 409 8154
investors@standardlithium.com

Media Inquiries
media@standardlithium.com

This news release contains forward-looking statements and forward-looking information (together, “forward-looking statements”) within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. All statements, other than statements of historical facts, are forward-looking statements. Generally, forward-looking statements can be identified by the use of terminology such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “believes” or variations of such words, or statements that certain actions, events or results “may”, “could”, “would”, “might”, “occur” or “be achieved”. The forward-looking statements contained herein may include, but are not limited to, information concerning the anticipated use of proceeds from the Offering and statements regarding the anticipated benefits and impacts of the Offering. Forward-looking statements are based on the Company’s current beliefs and assumptions as to the outcome and timing of future events, including, but not limited to, the proceeds of the Offering being deployed as anticipated, and the anticipated benefits and impacts of the Offering being realized. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance and opportunities to differ materially from those implied by such forward-looking statements. Factors that could cause actual results to differ materially from these forward-looking statements include, among other things: the anticipated use of proceeds from any offering made under the Company’s Base Shelf Prospectuses and any offerings to be conducted thereunder, including the Offering, the benefits and impacts of the Offering not being as anticipated, the risks and uncertainties relating to exploration and development, the ability of the Company to obtain additional financing, the need to comply with environmental and governmental regulations in Canada and the United States, fluctuations in the prices of commodities, operating hazards and risks, competition and other risks and uncertainties and other such factors as are set forth in the Base Shelf Prospectuses and the Prospectus Supplements, as well as the management discussion and analysis and other disclosures of risk factors for the Company, filed on SEDAR+ at www.sedarplus.ca. and on EDGAR at www.sec.gov. Although the Company believes that the information and assumptions used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except where required by applicable law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

FAQ

What did Standard Lithium (SLI) announce on Oct 20, 2025 regarding capital raising?

Standard Lithium closed an underwritten offering of 29,885,057 shares at US$4.35 for gross proceeds of about US$130 million.

How will Standard Lithium (SLI) use the US$130 million raised on Oct 20, 2025?

The company intends to fund capital expenditures at the South West Arkansas and Franklin projects and to use funds for working capital and general corporate purposes.

Who led the underwritten public offering for Standard Lithium (SLI) closed Oct 20, 2025?

The offering was led by Morgan Stanley and Evercore ISI as co-lead book-running managers with a syndicate of underwriters.

How many additional shares can underwriters buy for Standard Lithium (SLI) after the Oct 20, 2025 close?

Underwriters have a 30-day option to purchase up to 4,482,758 additional common shares at the same issue price.

Where can investors find the Standard Lithium prospectus for the Oct 20, 2025 offering?

The Canadian prospectus supplement is available on SEDAR+ and the U.S. prospectus supplement and registration statement are available on the SEC website.

Was the Standard Lithium offering for SLI sold in all jurisdictions?

The offering was made in the United States and in Canadian provinces and territories except Quebec.