Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:

Magnis Energy Technologies Ltd (ASX: MNS)

The Magnis Energy share price is down 42% to 4.7 cents. This follows news that its 73% owned iM3NY business has allegedly defaulted on its US$100 million senior secured term loan credit agreement with Imperium New York.

National Australia Bank Ltd (ASX: NAB)

The NAB share price is down 2% to $28.39. This morning, in response to the bank's full-year results, the team at Morgan Stanley retained its underweight rating with a trimmed price target of $26.50. Elsewhere, Macquarie held firm with its neutral rating with a slightly reduced price target of $28.00.

REA Group Ltd (ASX: REA)

The REA share price is down 2.5% to $155.53. This follows the release of the property listings company's first quarter update. Although the realestate.com.au operator delivered double-digit revenue and EBITDA growth, the latter was still short of expectations.

Wildcat Resources Ltd (ASX: WC8)

The Wildcat share price is down over 5% to 81 cents. Investors have been hitting the sell button after the lithium explorer announced the completion of a $100 million institutional placement. The company is raising the funds at an 11% discount of 76 cents per new share. Wildcat will use the placement proceeds for a number of activities. This includes exploration, drilling, resource evaluation, and business development at the exciting Tabba Tabba Lithium Project in Western Australia.

The post Why Magnis Energy, NAB, REA, and Wildcat shares are dropping today appeared first on The Motley Fool Australia.

At one stage today, the lithium-ion battery technology and materials company's shares were down as much as 57% to 3.5 cents.

They have recovered a touch since then but remain down 43% at 4.6 cents.

What's going on with the Magnis Energy share price?

Investors have been hitting the sell button in a panic today after the company released an update on its iM3NY loan facilities.

The operator of the 73%-owned iM3NY business, CCCV, has a US$100 million senior secured term loan credit agreement with Imperium New York.

It has been served with a notice of default from the lender, alleging that various events of default have occurred in relation to the credit facility.

This includes a failure to maintain working capital in excess of an agreed minimum level and a failure to seek the lender's consent to vary the terms of the engineering, procurement and construction arrangements.

In addition, the missing of production deadlines and the failure to pay at least US$3.3 million under the engineering, procurement and construction arrangements and approximately US$6.9 million in third party trade payables by the relevant due dates are also reasons given.

A final reason is the allegation that approximately 50% of the equipment at the Battery Facility is not performing to specification.

What now?

The company advised that the lender has stated that it may seek to enforce the security it has over the assets if an acceptable resolution has not been reached by 5pm (New York time) on 14 November 2023.

And while the operator of iM3NY has challenged the default notice, it is also attempting to resolve the matter. This includes by seeking to procure alternative financing to refinance the credit facility.

How will this impact Magnis Energy?

The company has explained what impact it could have on its operations. And while it expects to remain solvent even in the worst-case scenario, it hasn't stopped investors selling down the Magnis Energy share price today. It advised:

While neither the Company nor any of its other subsidiaries (i.e. other than iM3NY and/or the Borrower) guarantees or provide any other form of financial surety in respect of the Credit Facility, the enforcement of the Lender's security against the assets of the Borrower (and others, including iM3NY and C4V) may have a material (albeit, presently unquantifiable) adverse impact on the Group's FY2024 financial performance and condition if a resolution with the lender is not reached.

The Company advises that in the event the Lender enforces the security against the assets of the Borrower, then that of itself would have no impact on the Company's solvency. The Company draws attention to the statement made in the recent September 2023 quarterly cash flow statement that the directors are engaged in seeking additional capital from the debt and equity markets and believe these efforts are more likely than not to be successful.

The post Why is the Magnis Energy share price crashing 57% on Friday? appeared first on The Motley Fool Australia.

That's because this vertically integrated lithium-ion battery technology and materials company's shares have been in a trading halt since yesterday.

This has been particularly bad timing for Magnis shares, which have missed out on the All Ordinaries index (ASX: XAO) rising over 2% since requesting a halt.

This is made all the more worse when you consider how poorly its shares have performed of late.

Since the turn of the year, the Magnis share price has lost over 60% of its value.

Why are Magnis shares in a trading halt?

Magnis requested the trading halt on Thursday to allow it "the time it needs to finalise documentation and the disclosure in relation to a proposed material fund raising."

The release reveals that the company has requested that the trading halt continues until the earlier of the fund raising announcement and the commencement of trade on Monday.

At this stage, it is unclear how much Magnis is seeking to raise from the fund raising and how exactly it plans to go about raising the funds.

However, unfortunately for its shareholders, if it is a capital raising, it is likely to be dilutive and put further pressure on Magnis shares.

Were the company to raise the funds at a 15% discount, this would mean 12.35 cents per new share. This is a fraction off a multi-year low, which demonstrates just how dire things have got for the company recently.

It is also worth noting that the company's CEO announced his resignation last month and no replacement has been found thus far. These are hardly ideal times to be raising funds.

The post Why are Magnis shares in a trading halt? appeared first on The Motley Fool Australia.

The truly ghastly fact about zombie companies is how pernicious their capital destruction can be. Rather than presenting a problem in plain sight, these undead entities can wander along for years without their detrimental deeds being detected.

Half of the mission in investing is to make money, the other half is trying not to lose it. That's why I believe it is critical to understand what a zombie share is and ways to avoid them. Being able to distinguish a horde from a haven could help rule out an especially deadly part of the market.

What is a zombie company?

If there are ASX All Ord shares that meet the conditions of a zombie company, what are those conditions?

Well, the technical requirements differ depending on who you ask. However, the general principle is a company that generates inadequate cash earnings from its operations to cover the interest on its debt — let alone pay it down.

Typically, these businesses will make use of additional capital raises and/or more debt to sustain themselves. It might work for a time, but the reality is unless the company can substantially improve its operational earnings, there's a good chance it will eventually collapse.

Right now, some ASX All Ords shares that are emblematic of zombies are Audio Pixels Holdings Ltd (ASX: AKP), Mesoblast Ltd (ASX: MSB), and Magnis Energy Technologies Ltd (ASX: MNS).

Mesoblast is a prime example of a zombie. The regenerative medicine company has dialled up its debt over the past five years, as pictured above. During that time, more funds have been consumed by research and development (among other expenses) than what has been generated by its operations.

Before you go deleting a bunch of companies from your watchlist, there are a few benefits of the doubt that I believe are worth giving:

• Companies can have a challenging year where they become unprofitable. It may turn out to be a temporary sickness, rather than a full-blown zombie awakening
• Sometimes a zombie can return to the land of the living under a successful strategy
• Certain stages of select industries necessitate a period of zombification e.g. drug development and mineral exploration

Unfortunately, the risk that ASX zombie shares pose to shareholders is more prominent now than at any other time in the past decade. This comes down to the cost of capital ballooning amid the face-melting rise in interest rates.

How to dodge ASX All Ord shares with a nasty bite

If staying far, far away from anything that holds any resemblance to a zombie is more in tune with your investing style, there are several fundamentals I'd zero in on.

Firstly, a good place to start is a high EBITDA margin. The higher the margin, the more cash is available to pay interest and fund growth without additional debt. Keep in mind, though, a company can be profitable on an EBITDA basis and still lose money on the bottom line due to non-cash items.

Secondly, and perhaps a no-brainer (pun intended), is to search for ASX shares with minimal debt from the get-go. If the company never takes on debt, it's open ocean ahead — but if it does, you have ample time before it runs aground.

Lastly, a large swathe of ASX zombie shares can be avoided by steering clear of pre-revenue companies. Whether it is a drug developer, mineral explorer, or chip designer, if they are yet to generate meaningful revenue, there's a fair chance they're a zombie in the making (if not one already).

Some of these companies will go on to succeed and reward their investors handsomely. Many others will consume shareholder wealth before fading into oblivion.

If you don't mind going toe-to-toe with zombies, here's my final word. Rule number 22 of Zombieland: when in doubt, know your way out.

It's easy to start making excuses and loosen your standards when a company in your portfolio starts to turn. I personally think it is important to set the goalposts for selling early and don't be tempted to shift them.

The post There are zombies among ASX All Ord shares. How I'd avoid my wealth being devoured appeared first on The Motley Fool Australia.

Four ASX shares that aren't letting that hold them back today are listed below. Here's why they are charging higher:

Hub24 Ltd (ASX: HUB)

The Hub24 share price is up almost 11% to $29.87. Investors have been buying this investment platform provider's shares following the release of its half-year results. For the six months ended 31 December, Hub24 reported an 87% increase in net profit after tax to $26.6 million.

Johns Lyng Group Ltd (ASX: JLG)

The Johns Lyng share price is up over 15% to $6.47. This morning, the integrated building services company released its half-year results and reported a 63% increase in first-half EBITDA. This strong half has led to the company upgrading its revenue and EBITDA forecasts for the full year.

Judo Capital Holdings Ltd (ASX: JDO)

The Judo Capital share price is up 5% to $1.52. This has been driven by the business lending company's half year results, which revealed a 322% increase in pre-tax profits to $53.2 million. This was underpinned by a 23% increase in gross loans and advances and a 72 basis points increase in its underlying net interest margin to 3.56%.

Magnis Energy Technologies Ltd (ASX: MNS)

The Magnis share price has jumped 8% to 43.7 cents. This morning, this lithium-ion battery technology and materials company revealed that it has entered into a binding offtake agreement with electric vehicle giant Tesla for the supply of anode active materials (AAM) from February 2025. Tesla will purchase a minimum 17,500 tonnes per annum (tpa) with the option to buy up to 35,000 tpa for a minimum three-year term at a fixed price.

The post Why Hub24, Johns Lyng, Judo Capital, and Magnis shares are charging higher appeared first on The Motley Fool Australia.

The ASX lithium share opened at 49 cents, up 22.5% on Friday's closing price, and is now at 47.5 cents.

The lithium-ion battery technology and materials company requested a trading halt before the market open yesterday pending the announcement.

Small-cap ASX lithium share gets a big customer

Magnis has entered into a binding offtake agreement with Tesla for the supply of anode active materials (AAM) from February 2025.

Tesla has committed to purchasing a minimum 17,500 tonnes per annum (tpa) with the option to buy up to 35,000 tpa for a minimum three-year term at a fixed price.

The deal was signed over the weekend. It is conditional on Magnis securing a location for its commercial AAM facility by 30 June. It also has to start production at a pilot plant by 31 March 2024.

Production at the commercial facility needs to be underway by February 2025. The agreement is also subject to customer qualification.

This is big news for the ASX small-cap, with the company describing it as a "material transaction".

Magnis Chair Frank Poullas commented:

We are really excited to bring our high performing AAM to market that requires no chemical or thermal purification throughout the whole process, which differentiates this sustainable material in the market and provides great value to all parties."

What's next for the Magnis share price?

The Magnis share price has been rising, up 25% in the year to date following today's news. This compares to a 5.5% bump in the S&P/ASX All Ordinaries Index (ASX: XAO).

Magnis has commenced large-scale development of its pilot plants for both AAM and graphite concentrate from its Nachu mine in Tanzania. The company has ordered equipment and hired staff.

Next, it has to choose a location in the United States for the AAM commercial facility.

Meanwhile, the company needs to get its lithium materials certified by the United Nations for transport.

Last Friday, Magnis told investors there would be a delay in the certification due to a bad cell result.

Magnis has a 61% interest in the plant, which commenced commercial lithium cell production in August 2022. It began the process of securing independent certification from the UN late last year.

The independent certification process ensures that the batteries are safe to transport in large quantities by air, sea, rail, or road. The certification is based on international safety standards, including Standard UN38.3.

Certification will allow Magnis to ramp up the size of its sales.

In its statement, Magnis said all 10 cells submitted for UN certification had to pass and one cell failed.

The company said:

In one of the last tests performed, a cell reported an irregular result which has resulted in the process starting again with a new batch of cells.

In order to compress the timeline to achieve certification, additional accredited independent certifiers have been appointed. 

The Magnis share price tumbled by 8% to 40 cents on the news.

The post Magnis share price rockets 23% on Tesla deal appeared first on The Motley Fool Australia.

The Magnis Energy Technologies Ltd (ASX: MNS) share price closed at 40 cents last Friday. And that's where the company will be staying, at least for a while.

That's because, just before market open this morning, Magnis put out an ASX notice. This told investors its shares would be placed in a trading halt, effective from today.

Here's some of what the notice said:

The Company requests the trading halt pending an announcement to the market in relation to a material transaction, the signed agreement for which was received from the counterparty over the weekend…

The Company requests that the trading halt applied to its securities continue until the earlier of the making of an announcement in relation to the proposed material transaction and the commencement of trading on 21 February 2023.

That's all we know for now.

ASX lithium share Magnis on ice

Magnis did give investors another update last Friday. But this was related to its Imperium3 lithium-ion battery plant in the US state of New York, in which Magnis owns a 61% interest.

This informed investors that there will be a delay in gaining United Nations certification for the safe transportation of the lithium-ion batteries manufactured at Imperium3:

In one of the last tests performed, a cell reported an irregular result which has resulted in the process starting again with a new batch of cells.

In order to compress the timeline to achieve certification, additional accredited independent certifiers have been appointed. While disappointed with the delay, Magnis is pleased that cells produced by iM3NY are continuing to be sampled by a range of existing and potentially new customers, which reinforces the Company's view on positive market demand for these new cells.

The Magnis share price reacted poorly to this news, with the company losing a nasty 7.96% last Friday. That put the company at the 40 cent share price Magnis is frozen at today:

It appears that these two consecutive announcements are not related, but we shall have to wait and see what Magnis comes out with later this week.

The post Why is ASX lithium share Magnis in a trading halt? appeared first on The Motley Fool Australia.

The Magnis Energy Technologies Ltd (ASX: MNS), Cettire Ltd (ASX: CTT) and Avita Medical Inc (ASX: AVH) share prices all outperformed the index today.

Let's take a look at what impacted these three ASX All Ordinaries shares.

Magnis Energy

The Magnis Energy Technologies share price climbed 1.25% today despite no news from the company. However, Magnis' US traded OTC shares (OTC: MNSEF) climbed 2.32% overnight.

Magnis is a lithium-ion battery company with investments in lithium-ion battery cells, lithium-ion battery technology and high-performance anode materials. The company is invested in large-scale lithium-ion battery cell manufacturing projects in New York and Townsville, Queensland. In a recent investment presentation, Magnis highlighted the New York lithium battery facility has commenced commercial production. The facility is expected to produce about 15,000 cells a day at capacity.

Cettire

This company's shares leapt 2.10% today. Cettire is a global luxury online retailer. In today's news, Cettire has signed a commercial agreement with Zegna Group. Under the deal, Cettire will be able to integrate and sell products from Zegna on its platform. Customers of Cettire will have access to Zegna products in all of Cettire's markets.

Commenting on the news, Cettire CEO and founder Dean Mintz said:

We are excited about our newly announced agreement with Zegna. Zegna is a world-renowned brand with a rich history originating in the heart of the luxury fashion industry.

With this collaboration, Cettire enables Zegna's products to be directly available to a new and fast growing audience of luxury customers.

Avita Medical

Avita Medical shares jumped 1.94% today. In contrast, the ASX 200 Health Care Index (ASX: XHJ) fell 0.78%. Avita is working on a burn treatment device known as the Recell system.

Avita held its annual general meeting this week. Chairman Lou Panaccio said the company continues to be in a "strong position" when it comes to growth into new markets, corporate health and financial position. He highlighted Avita had more than US$88 million in cash reserves as at 30 September.

The post 3 ASX All Ordinaries shares that defied today's sell-off to leap higher appeared first on The Motley Fool Australia.

ASX investors might be wondering when the 'Santa rally' will kick in, now that the All Ords has lost more than 2.4% since the start of December.

But it's not all bad news on the ASX today. So here are three big winners that the markets are throwing up.

3 All Ords shares bucking the market downturn

Chalice Mining Ltd (ASX: CHN)

All Ordinaries mining exploration company Chalice is one ASX All Ords share that is having a cracking time of it this Thursday. Far from being dragged down by the broader market, Chalice shares have gained a whopping 14.36% at the time of writing, putting this company at $6.37 a share, as you can see below:

This seems to be in response to a promising update the company gave to investors this morning. As we covered at the time, Chalice has revealed that drilling at its Hooley Prospect site has intersected "a significant PGE-nickel-copper-cobalt-gold mineralisation". It seems investors are very excited at this news.

Magnis Energy Technologies Ltd (ASX: MNS)

Next up, we have All Ordinaries battery technology company Magnis. Its shares are also defying the selloff today, with the Magnis share price up a pleasing 6.94% at present to 38 cents per share, as you can see below:

With Magnis shares, it's unclear what's going on today. There has been no fresh news or announcements from the company since 2 December.

Earlier this month, Magnis did announce that it is seeking funding to expand its iM3NY lithium-ion battery facility in New York, with a confirmation that it has commissioned bank HSBC to assist in this regard. Perhaps excitement from this development is helping to boost investor sentiment today.

Bellevue Gold Ltd (ASX: BGL)

Finally today, we have ASX All Ords gold share Bellevue. The Bellevue share price has taken off today and is currently up a healthy 7.51%, putting the company at $1.14 a share:

This is an interesting one. Bellevue Gold shares were in a trading halt for most of the week, only coming off yesterday. This was to facilitate a $60 million institutional placement of shares, which has now been conducted successfully. 

Upon the resumption of trade yesterday, Bellevue Gold shares plummeted more than 11.5%, so perhaps today's rise means that investors took things too far with this selloff.

The post It's not all bad news on the ASX All Ordinaries today. Here are 3 big winners appeared first on The Motley Fool Australia.

The Magnis Energy share price reached an intraday high of 40 cents today. That's 8.1% higher than yesterday's closing value of 37 cents. It is now trading at 38 cents, up 2.7%.

Here's what's going on.

What's the news pushing up the Magnis Energy share price?

Late last night, the Australian Financial Review published an article saying Magnis is "seeking equity investors to fuel expansion plans alongside a mooted US-government sponsored debt facility".

Magnis Energy asked the ASX for a temporary pause in trading before the market open today to give it time to prepare an official response.

What did Magnis Energy say?

In a statement issued just after 11am, Magnis Energy confirmed it has commissioned HSBC to assist with funding requirements.

The money will go toward expanding its lithium-ion battery plant, iM3NY Plant.

That stands for Imperium3 New York, Inc, which is a joint venture project between Magnis Energy's US subsidiary and its partner, technology company Charge CCCV LLC, otherwise known as C4V.

The goal of iM3NY is to commercialise C4V's patented technology to produce green-credentialed lithium-ion battery cells.

Why does the company need new capital?

According to the AFR, Magnis wants to ramp up production at iM3NY by more than 30 times before the end of the 2020s.

The article said HSBC is seeking to raise $300 million to fund the plant's expansion. This would enable it to increase production from one gigawatt per year to five gigawatts per year by 2024.

The company also want a $200 million commitment to support future expansion initiatives.

The longer-term goal is to achieve 38 gigawatts per year by 2030.

The funding could also help Magnis access US government backing. In recent times, the US has awarded grants to other ASX-listed lithium battery developers, namely Novonix Ltd (ASX: NVX) and Syrah Resources Ltd (ASX: SYR).

Magnis Energy is listed on the ASX, the Frankfurt Stock Exchange (FSE: U1P), and the OTC Markets Group (OTCQX: MNSEF).

The company said its board has not decided whether it will participate in any funding arrangements.

Magnis Energy share price snapshot

It may be a player in the white-hot lithium and battery materials sector, but Magnis has had a rough year on the market. The shares are down 33% in the year to date.

The Magnis Energy share price is also down 17% over the past five years.

The post What's with the Magnis Energy share price on Thursday? appeared first on The Motley Fool Australia.

In afternoon trade, the battery technology company's shares are up 4.5% to 35.5 cents.

Despite this, though, the Magnis share price is still down a disappointing 22% since this time last month.

What's going on with the Magnis share price?

Unfortunately for shareholders, the Magnis share price has been caught up in the market volatility.

This volatility has been particularly pronounced at the riskier end of the market, which has seen lithium explorers and battery technology companies fall heavily along with Magnis.

For example, the Novonix Ltd (ASX: NVX) share price was down 20% over the last 30 days before a huge rebound today.

Elsewhere, the Vulcan Energy Resources Ltd (ASX: VUL) share price remains down 21% since this time last month and the Talga Group Ltd (ASX: TLG) share price is down 16% over the period.

Not even the release of a promising update on the Nachu Graphite Project at the end of September has been able to keep Magnis' shares afloat.

What was the update?

That release revealed that the company has completed an update to the 2016 Bankable Feasibility Study (BFS) for the Tanzania-based graphite project. The good news is the study confirms that the project continues to demonstrate strong financial and technical viability.

Management notes that the project's unique combination of larger flake sizes and high purity concentrate positions it as a leading future supplier to meet the rapidly growing demand by the lithium-ion battery market.

Furthermore, it has a post-tax life of mine (LOM) project net present value of US$1.2 billion (A$1.8 billion) and project IRR of 51% with a payback period of 19 months.

Here's hoping the next 30 days will be more positive for the Magnis share price.

The post Why is the Magnis share price down 22% in a month? appeared first on The Motley Fool Australia.

One downside of the share price increases for lithium shares is that latecomers to the investing party could view them as suspiciously overvalued. After all, no company's shares can keep going parabolic forever.

There is a different battery metal that goes hand in hand with lithium. Let's investigate the material, the companies that produce it, and how it stacks up with lithium moving forward.

Graphite challenges ASX lithium shares for the spotlight

According to analysts from Credit Suisse, graphite is another battery material with excellent prospects, as reported by The Age in April.

The analysts said:

It looks a lot more like lithium three to five years ago.

In five years' time, suddenly graphite pricing will have gone up in my view quite significantly, and it will bring a huge incentive to bring all these projects on board.

The Age published additional analysis on graphite last Saturday, this time with Ausbil portfolio manager James Stewart stating that:

EVs underpin long-term growth for nickel and copper, but here and now, we see very tight markets in graphite and lithium, as mine development has not kept pace with surging demand with this one-time fundamental switch from fossil fuels to renewables.

Stewart continued:

Lithium and graphite pricing is expected to remain elevated for some time, and we believe we will benefit from owing [sic] the lithium and graphite producers and developers.

So, according to analysts, graphite arguably has the same outlook as lithium. Both also benefit from a surge of interest on the demand front, while on the supply end, producers can't ship the material fast enough to keep up with expected orders.

Aside from this, graphite is also a critical component in creating lithium batteries. One lithium battery in an electric vehicle comprises around 20% graphite.

Companies involved in graphite production

The following companies are in the graphite production space, for investors looking for an alternative to ASX lithium shares.

Sayona Mining Ltd (ASX: SYA) is a mineral explorer with an interest in discovering lithium and graphite. In Australia's northern region, graphite mineralisation was reported in the East Kimberley site. Shares are up 157.14% year to date.

Syrah Resources Ltd (ASX: SYR) was named "the biggest graphite producer on the ASX" by a broker in September. Shares are down 2.59% year to date.

Argosy Minerals Limited (ASX: AGY) has a graphite project located in Namibia. The company has "not made any final decision on its strategy for the project, pending further review and considering funding opportunities". Shares are up 48.48% year to date.

Magnis Energy Technologies Ltd (ASX: MNS) owns the Nachu graphite project in Ruangwa, Tanzania. Shares are down 14.04% year to date.

The post Investors are obsessed with ASX lithium shares, but what about this other critical battery metal? appeared first on The Motley Fool Australia.

Four ASX shares that are not letting that hold them back today are listed below. Here's why they are pushing higher:

5E Advanced Materials Inc (ASX: 5EA)

The 5E Advanced Materials share price is up 18% to $2.60. This morning the boron and lithium explorer announced that it has entered into an agreement with Bluescape Energy Partners. The US investor will buy $60 million of secured convertible notes. 5E Advanced Materials also advised that the construction of a small-scale boron facility is on schedule for completion in the final quarter of this year.

Insurance Australia Group Ltd (ASX: IAG)

The IAG share price is up 1% to $4.66. Investors have been buying this insurance giant's shares after responding positively to its full year results release. IAG reported a net profit after tax of $347 million for the 12 months ended 30 June. This was up from a $427 million loss in the prior corresponding period.

Magnis Energy Technologies Ltd (ASX: MNS)

The Magnis share price is up 29% to 47 cents. This morning the energy technology company announced that commercial production is underway at its lithium-ion battery plant in New York. Magnis plans to produce several thousand lithium-ion cells in the next month for quality assurance before increasing annual production levels to 1GWh by the end of 2023.

Woodside Energy Group Ltd (ASX: WDS)

The Woodside share price is up 2.5% to $32.43. Investors have been buying Woodside and other energy shares today after the IEA increased its demand growth forecasts. This has led to the S&P/ASX 200 Energy index rising by over 1.7% this afternoon despite the market decline.

The post Why 5E Advanced Materials, IAG, Magnis, and Woodside shares are pushing higher appeared first on The Motley Fool Australia.

Shares in the ASX lithium company have leapt 35.6% and are now trading at 49.5 cents. In comparison, the S&P/ASX 200 Materials (ASX: XMJ) is down 0.54% at the time of writing.

Let's take a look at what Magnis Energy reported today.

Lithium news

Magnis announced commercial production has started at the Imperium3 New York lithium-ion battery manufacturing plant (iM3NY) in New York.

Magnis and joint venture partner Charge CCCV LLC (C4V) are the major shareholders in iM3NY, a New York-based independent lithium-ion cell manufacturer.

The plan is to produce several thousand lithium-ion cells in the next month for quality assurance. By the end of 2023, annual production levels are expected to jump to 1GWh.

This will climb to 15,000 cells per day when the plant hits a capacity of 1.8GWh.

The factory floor is about 22,000 sqm — equivalent to more than the size of three soccer fields.

Management commentary

Magnis chair Frank Poullas welcomed the news, saying:

After many years of hard work by everyone involved, today represents a momentous
occasion for Magnis, its partner C4V and the wider iM3NY team.

With previously announced binding sales agreements, I look forward to updating the market as we move towards generating revenues and increasing the capacity of the plant to meet some of the huge demand currently experienced for lithium-ion batteries especially in the United States.

iM3NY CEO Chaitanya Sharma added:

The iM3NY team has put in a huge effort to achieve this major milestone of commercial
production with iM3NY being North America's only pure home-grown battery plant.

Magnis share price snapshot

The Magnis share price is down 14% year to date, although it has climbed 23.7% in the past 12 months.

Magnis shares have surged more than 65% in the past month.

Based on the current share price, Magnis has a market capitalisation of around $475 million.

The post Magnis share price rockets 36% on New York lithium battery plan appeared first on The Motley Fool Australia.

But since then, the battery technology company's share price is rising 1.28% to 39.5 cents.

It appears investors are looking to get in on the action after Magnis shares fell 6.02% yesterday. This came off the back of a reality check from Goldman Sachs indicating that lithium prices have overshot their mark.

Magnis appoints new CEO

According to yesterday's late afternoon release, Magnis advised that it has appointed David Taylor as its new CEO.

The latest inclusion follows the company's extensive 6-month global search to replace the top job.

Mr Taylor's vast experience in the energy, chemicals and resources sectors spans over a 30-year period. This includes senior roles in private, listed, and government organisations where he was responsible for a number of important functions.

Most recently, Mr Taylor led the development and growth of Worley Ltd (ASX: WOR) in the east region of Australia and New Zealand. He implemented business growth plans and managed strategic relationships with key customers and partners, while leading and delivering change initiatives.

Mr Taylor holds a Bachelor of Building in Construction Economics (First Class Honours) from University of Technology Sydney.

In addition, he has a Master of Business Administration and a Master of Applied Finance from Macquarie University and is a member of the Australian Institute of Company Directors.

Mr Taylor's position as Magnis CEO will come into effect on 1 August 2022.

What did management say?

Magnis chair, Frank Poullas commented on the new appointment, saying:

After an extensive global search, we are delighted to announce the appointment of David Taylor to lead the next phase of growth for Magnis.

David has significant local and international experience spanning three decades in the development and growth of businesses and major projects in the infrastructure, energy, chemical and resources sectors. He will be instrumental in executing on Magnis' vision to be a vertically integrated battery technology and materials company in the Lithium-ion battery value-chain.

Magnis share price snapshot

Over the past 12 months, the Magnis share price has gained almost 40%.

However, when looking at year-to-date, its shares are down roughly 30%.

Based on today's price, Magnis commands a market capitalisation of around $386.59 million.

The post Why is the Magnis share price climbing today? appeared first on The Motley Fool Australia.

Up almost 10% in early morning trade, Magnis shares are currently up 4.9%, trading for 43 cents.

So, what's driving investor interest in the ASX lithium-ion battery tech company today?

'Truly remarkable' battery test results announced

The Magnis share price is surging after the company reported promising results for its CSPG (Coated Spherical Graphite) high-performing green anode materials.

The green anode product was produced solely via mechanical processes, without chemical, acid, or thermal purification.

The electrochemical battery performance of Magnis' Nachu CSPG anode was tested and qualified using commercial graded Lithium-ion battery cells. The full cells have had more than 1,000 cycles and retain at least 90% of their initial capacity.

Magnis said the results show "an excellent lifespan" for its Nachu CSPG anode material. It is now ready for the next step of commercialisation.

Magnis produced ultra-high purity (+99%) natural flake graphite (NFG) concentrate from its wholly-owned Nachu Graphite Project in Tanzania without chemical purification. It said the unique characteristics of its Nachu NFG ore enabled it to produce ultra-high purity (+99.95%) CSPG anode product with a high yield.

Commenting on the positive results, Magnis chairman Frank Poullas said:

We are blessed with such an amazing resource. Being able to produce a high quality, high performing green anode product at +99.95% purity or above without any acid, chemicals or thermal purification while using mechanical processes only, is truly remarkable.

Magnis share price snapshot

Over the past 12 months, the Magnis share price has gained 26%. By comparison, the All Ordinaries Index (ASX: XAO) is up 4% since this time last year.

For Magnis shareholders, 2022 has been tough with the battery tech company down 25% year-to-date.

Magnis has a market capitalisation of $396 million with 965.8 million shares on issue.

The post Here's why the Magnis share price is charging higher today appeared first on The Motley Fool Australia.

Fortunately (or unfortunately), the vertically integrated lithium-ion battery company's stock isn't alone in the red on Wednesday.

At the time of writing, Magnis shares are trading for 49 cents, 5.77% lower than the previous close.

For context, the All Ordinaries Index (ASX: XAO) and the S&P/ASX 200 Index (ASX: XJO) are down 0.73% and 0.68% respectively.

Let's take a look at what's going on with the share prices of Magnis and its ASX-listed peers today.

What's going on with Magnis shares on Wednesday?

The Magnis share price is struggling alongside its peers in the materials sector today.

Right now, the S&P/ASX 200 Materials Index (ASX: XMJ) is down 1.47%, with lithium explorer AVZ Minerals Ltd (ASX: AVZ) leading the fall.

Its share price has tumbled 6.1% on Wednesday.

The sector's other major players include emerging battery metals producer Liontown Resources Limited (ASX: LTR), and explorer and developer of green metals Chalice Mining Ltd (ASX: CHN).

Their share prices have slipped 6% and 5.6%, respectively, at the time of writing.

Today's dip sees the Magnis share price 14% lower than it was at the start of 2022. Though, it's still 48% higher than it was this time last year.

The post Why is the Magnis share price tumbling 5% on Wednesday? appeared first on The Motley Fool Australia.

In afternoon trade, the vertically integrated lithium-ion battery company's shares are up 10% to 48 cents.

Why is the Magnis share price shooting higher?

Investors have been bidding the Magnis share price higher today in response to the release of a positive announcement.

That release included an update on activities at the iM3NY Battery Plant based in Endicott, New York. Magnis is the major shareholder of the project.

According to the release, the overall project completion rate was 63% at the end of February.

This follows the Imperium team collaborating with EPC contractor Ramboll throughout the period and completing several mechanical, civil and electrical works. Progress was also made on several key items, with two new hires made during the month and vacancies for another eleven new positions.

What is the iM3NY Battery Plant?

Once constructed, the iM3NY Battery Plant has aggressive plans to scale up to 32GWh of annual production by 2030.

This will make it North America's largest home-grown factory in the global Li-ion battery cell manufacturing market. It will also be the only non-China supplier capable of meeting both domestic and global demand.

Management commentary

iM3NY's CEO, Chaitanya Sharma, commented: "We are working around the clock to meet our target which is on track to begin fully automated production in the next quarter. Potential customers and investors are coming in every week and discussions keep progressing."

Magnis' Chairman, Frank Poullas, added: "The shortage of cells in the marketplace continues to grow coupled with the increases in nickel and cobalt prices, timing could not be better for production in 2022."

The post Why is the Magnis (ASX:MNS) share price leaping 10% today? appeared first on The Motley Fool Australia.

The Magnis share price hovered under the line in today's trade, finishing the day down 1.16% at 42.5 cents. In comparison, the S&P/ASX 200 Index (ASX: XJO) finished the day down 1.02%.

Let's take a look at the news sparking joy for Magnis today.

Magnis to join the All Ords ranks

Lithium-ion battery company Magnis will be added to the All Ordinaries Index (ASX: XAO). This news was released after market close on Friday as part of the S&P Dow Indices quarterly rebalance.

Other inclusions to the index include Boss Energy Ltd (ASX: BOE), Galan Lithium Ltd (ASX: GLN), Metals X Limited (ASX: MLX) and Carbon Revolution Ltd (ASX: CBR). The update will take effect prior to the open on 21 March.

On Friday, my Foolish colleague Alice de Bruin reported details of an Australian Securities and Investments Commission (ASIC) investigation into the company's financial activity. Magnis shares dropped 5.5% on the back of that news.

Recently, Magnis updated the market on the Imperium3 New York (iM3NY) lithium-ion battery plant, of which Magnis is the major shareholder. The project is 57% complete as at the end of January.

Magnis chair Frank Poullas said:

Significant progress continues on all fronts as the project ramps up towards gigawatt hour production. The iM3NY team is working with investors, looking at funding the next stage, above 10GWh of annual production.

Magnis share price snapshot

In the last 12 months the Magnis share price has surged 39%. But it is giving most of that back this year, crashing 26% year to date.

In comparison, the benchmark ASX 200 index has climbed nearly 5% in the past year.

Magnis has a market capitalisation of $410.4 million based on the current share price.

The post The Magnis (ASX:MNS) share price has lost 18% in a month, but there was some good news today appeared first on The Motley Fool Australia.

The price movement comes as the financial activity of the company's chairman continues to be investigated by the Australian Securities and Investments Commission (ASIC).

At the market close, the Magnis share price had dropped by 5.49% to 43 cents. However, it is still up 4.87% from last Friday's closing price.

So, what's going on with the battery manufacturer?

Magnis chairman under investigation

As reported by The Australian on Tuesday, ASIC has requested documents pertaining to the trading activity of Magnis chairman Frank Poullas.

According to The Australian, letters sent to Magnis by senior ASIC officials in September, seen by the publication, "show the corporate regulator is investigating suspected contraventions of Corporations Act provisions relating to market manipulation and the false trading of shares".

Information tying the company with "Dubai-based financiers" has also been requested.

Further, The Australian said:

The regulator has separately warned investors who appear to be using Telegram and other messaging platforms to manipulate the Magnis share price that they face prosecution.

This comes after the company last month announced the Imperium3 lithium-ion battery plant in New York — of which Magnis is the major shareholder — was now 57% complete.

The long-delated project had been expected to start production in 2019.

Chairman's financial activity in question

The financial activity of the chairman is also under question after a number of payments from Magnis were made to Strong Solutions — a company linked to Poullas.

The Australian said an internal report, handed to Poullas in early 2020, showed Strong Solutions was billing Magnis $4,500 a month.

The report noted Poullas was charging Magnis his consulting fee with "no independent oversight of this fee or oversight of work undertaken".

Magnis responds to media coverage

In mid-November, Magnis entered a trading halt before responding to an article in The Australian that claimed Poullas was under investigation by ASIC.

In its response, the company said the article had "a number of unsubstantiated statements regarding the Company".

The Magnis share price fell by more than 19% on the day of the response. Since then, two board members have also jumped ship from the company.

Magnis share price snapshot

In the last 12 months, the Magnis share price has increased by 65%. Within that time, shares dropped as low as 26 cents and shot as high as 76 cents. Its shares are down 25% this year to date.

The company has a market capitalisation of $439.42 million.

The post The Magnis (ASX:MNS) share price has climbed 5% this week. What's been happening? appeared first on The Motley Fool Australia.