ARCF III Participates in US$23.4 million Registered Direct Offering and Private Placement 

For dissemination in Canada and over Canadian news services only

TORONTO, Oct. 23, 2025 (GLOBE NEWSWIRE) -- Arias Resource Capital Fund III L.P. (“ARCF III”) announced that it invested US$6,000,000.26 (the “Investment) in units (“Units”) of Largo Inc. (“Largo”) as part of Largo’s previously announced US$23.4 million registered direct offering and private placement (the “Offering”). ARCF III purchased 4,918,033 Units of Largo at a price of US$1.22 per Unit. Each Unit consisted of one common share (“Common Share”) in the capital of Largo and one Common Share purchase warrant (“Warrant”) with an exercise price of US$1.22 per Warrant, which are immediately exercisable upon issuance and will expire five years from the date of issuance. US$5 million of the Investment was advanced to Largo by ARCF III pursuant to a convertible bridge loan, which converted into Units upon the closing of the Offering.

Arias Resource Capital Fund II L.P. (“ARCF II”), Arias Resource Capital Fund II (Mexico) L.P. (“ARCF II Mexico”), and Arias Resource Capital Fund III L.P (“ARCF III”, and together with ARCF II and ARCF II Mexico, the “ARCF Funds”), own, in the aggregate, 32,887,973 Common Shares and 4,918,033 Warrants. J. Alberto Arias has been granted, for service on the Largo Board of Directors, a total of 173,309 vested options to acquire Common Shares (“Options”) and holds 62,533 Common Shares directly. Additionally, Arias Resource Capital GP Ltd. (“ARC GP”) owns 6,547 shares. Giving effect to the Offering and assuming the full exercise of the Warrants owned by ARCF III and the Options owned by J. Alberto Arias, the Common Shares held by the ARCF Funds, ARC GP and J. Alberto Arias, collectively, would represent approximately 43.0% of the total outstanding Common Shares of Largo, on a partially diluted basis, representing a decrease of approximately 0.8%, as summarized below:

The ARC Funds are managed by Arias Resource Capital Management LP (the “Manager”). The respective general partner of each of the ARC Funds retains the power to make investment and voting decisions in respect of the Largo securities beneficially owned by the ARC Funds. J. Alberto Arias is the sole director of each of the general partners of the ARC Funds and indirectly controls the Manager. As such, Mr. Arias may be deemed to share voting and dispositive power with respect to the Largo securities beneficially owned by the ARC Funds, but he disclaims any beneficial ownership of any such securities, except to the extent of his pecuniary interest therein.

The ARCF Funds may, from time to time, acquire additional securities of Largo and/or dispose of such securities as they may deem appropriate. The ARCF Funds currently have no other immediate plans or intentions to acquire or dispose of securities of Largo, but depending on market conditions, general economic and industry conditions, trading prices of securities of Largo, Largo’s business, financial condition and prospects and/or other relevant factors, the ARCF Funds may develop such plans or intentions in the future.

This news release has been disseminated in accordance with the early warning requirements of Canadian provincial securities laws.

For further information, please contact: J. Alberto Arias, Director, phone: (305) 913-5401
e-mail: info@arc-fund.com.

The dissemination of this release in the United States or to any United States news service may constitute a violation of U.S. securities laws.

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