EANS-News: Tantalus Rare Earths AG / Tantalus Rare Earths AG plans capital increase of up to EUR 10.5 million as BaFin approves prospectus

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Capital measures/Financing, Stock Offerings (IPO)/Prospectus approved

Grünwald (euro adhoc) - Tantalus Rare Earths AG plans capital
increase of up to EUR 10.5 million as BaFin approves prospectus

- Prospectus approved by BaFin - Cash capital increase with
subscription rights by issuing up to 350,000 new shares - Publication
of the prospectus provides transparency - Specifications met for the
primary market listings of Dusseldorf Stock Exchange

Gruenwald, 28 March 2013 - Tantalus Rare Earths AG (TRE AG) announces
the approval of its prospectus (submitted on 27 of March 2013) in
relation to the existing company with its 2,350,966 shares
(DE000A1TNXS3, WKN A1TNXS ISIN) by the German Federal Financial
Supervisory Authority (BaFin) together with the right to issue up to
a maximum of 350,000 new shares (ISIN DE000A1MMFF4, WKN A1MMFF).

The Company intends to raise a total of EUR10.5m by way of a capital
increase against cash contributions with subscription rights. For
this purpose, up to 350,000 new no-par bearer shares will be issued.
The capital increase was approved by the Executive Board and
Supervisory Board of TRE AG based on the resolution passed at the
General Meeting of 31 August 2011.

The new shares will be offered to the shareholders of the Company by
Schnigge Wertpapierhandelsbank AG, Duesseldorf ("Schnigge") in a
ratio of 6:1. The subscription price is not fixed yet, but will be
fixed no later than five days before the subscription trading period
ends, which is expected to be on the 17 April 2013. The subscription
price will be published on the website of TRE AG (www.tre-ag.com) as
well as by way of a corporate news release. The subscription price is
expected to be between EUR20 and EUR30 per new share. Unsubscribed
shares will be placed directly after the end of the subscription
period and by way of private placement.

Bankhaus Gebr Martin AG, 73033 Göppingen will deal with the technical
aspects of the subscription rights for new shares on behalf of
Schnigge. No stock exchange trading in subscription rights will take
place.

The Company expects capital gross proceeds of between 7.0 and 10.5
million euros. The Company intends to use the net proceeds from the
offering as working capital of the Tantalus group, ie to invest in
the exploration activities in the Tantalus project in Madagascar.

More details can be found in the prospectus (which is currently only
in German) on the website of the Company (www.tre-ag.com) in the
"Investors Relations / Reports" section.

Publication of the prospectus provides the shareholders and potential
investors of TRE AG with greater transparency, and accordingly access
to additional capital. At the same time it provides its shareholders
and all other interested investors with an objective information
base.

The prospectus is also used to fulfill the requirements that enable
the Company to continue to trade its shares in the primary market of
the Düsseldorf Stock Exchange as it committed to do (see press
release of December 4, 2012).

CEO Jürgen Schillinger: "With the approval of our prospectus, the
Company is unconditionally listed on the primary market of the
Dusseldorf Stock Exchange; at the same time we have gained access to
a new group of investors and other financing options. The completion
of the prospectus is an important step for the Company as it
represents a new level of transparency. As previously announced, TRE
AG intends shortly to request a change to the regulated market.

About Tantatalus Rare Earths AG: TRE AG is a German holding company,
which, through its subsidiary, holds a 100% interest in a rare earths
exploration project in north west Madagascar. The shares of TRE AG
are listed on the primary market of the Dusseldorf Stock Exchange.

Disclaimer: This announcement is neither an offer to sell nor an
invitation to subscribe for securities. This notice does not
constitute a securities prospectus. This notice and the information
contained within is not intended for direct or indirect distribution
within the United States of America, Japan or Canada and certainly
not to any U.S. person as defined in Regulation S under the U.S.
Securities Act (the "Securities Act") of 1933, as amended.

Further inquiry note:
Juergen Schillinger, Chief Executive Officier
Tel: +49 (0) 89 693 960 66
Mobil: +49 (0) 151 115 489 06
Email: schillinger@tre-ag.com
www.tre-ag.com

David Rigoll, Director
Tel: +44 7500 068555
Email: rigoll@tre-ag.com

Paul Weigh
Blythe Weigh Communications
Tel: +44 (0) 20 71383204
oder +44 (0) 7989 129658

end of announcement euro adhoc
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company: Tantalus Rare Earths AG
Nördliche Münchner Str. 16
D-82031 Grünwald
phone: +49 (0)89 693 960 66
FAX: +49 (0)89 693 960 68
mail: contact@tre-ag.com
WWW: www.tre-ag.com
sector: Holding companies
ISIN: DE000A1MMFF4
indexes:
stockmarkets: free trade: Düsseldorf
language: English