REX AMERICAN RESOURCES Corp (REX): Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers

The NSW Supreme Court, per Justice Ashley Black, found Rex and former executive chairman Lim Kim Hai misled the stock market with a February 28, 2023 statement forecasting positive operating profits, before Rex later reported a $31.7m loss. ASIC did not prove claims against three former non-executive directors. A penalty hearing is pending.

A court found Rex and former executive chairman Lim Kim Hai misled the market with a 2023 profit forecast, according to ASIC. Rex had said it expected positive operating profits in Feb 2023, but later reported a $31.7m loss. Justice Ashley Black ruled ASIC proved the case against Lim; three directors were not found liable. A penalty hearing is pending.

REX reported record 1Q FY26 results: EPS of $0.56 versus $0.14 consensus and $0.26 a year earlier, driven by 45Z production tax credits and lower corn costs. Net sales/revenue were $156.5 million (down from $158.3 million). Gross profit rose to $29.1 million from $14.3 million. REX said 45Z added $7.5 million (~$0.10/gallon) and One Earth remains on track for full operation in FY26.

REX American Resources reported its most profitable Q1 on a net income per share basis, marking 23 straight profitable quarters, driven by Section 45Z production tax credits and lower corn prices, according to management. It ended the quarter with $364.3M cash and zero bank debt. The company expects Gibson City ethanol expansion completion by end-2026 and plans a carbon pipeline application after Illinois’ July 1, 2026 moratorium.

Red Rock Resources Plc said it will issue 176,984,142 new ordinary shares of 0.01p each at 0.021p per share, to settle a loan (£27,666.67) and commission invoices (£9,500), according to the company. The shares are expected to be admitted to AIM around 4 June 2026. Post-issue, issued share capital will be 9,579,904,419 shares, with total voting rights of the same figure.

A court heard that Rex’s February 28, 2023 market statement saying it was on track for a full-year profit was “not tenable” for a responsible ASX-listed company, according to ASIC barrister Michael Borsky KC. Rex didn’t update guidance until June 20, warning of a pre-tax $31.7m operational loss. ASIC seeks penalties and disqualification orders against former directors.