Latrobe Magnesium was an unheralded materials company that had a reasonable shareholder base but a limited means of communicating with shareholders in impactful ways.
Using a patented extraction process, Latrobe Magnesium is working to develop a demonstration magnesium production plant in Victoria’s Latrobe Valley. The plant will harvest magnesium metal from a fly ash resource – a waste stream from brown coal power generation.
The project is at the forefront of environmental sustainability as it converts nearly 100% of the resource into valuable commodities. The CO2 emissions are some 50% less than comparable to overseas magnesium production plants.
Working with Fresh Amplify, LMG's management team sought to create an evidence-based approach to growing its shareholder base through data, digital communication, and technology, and signed up for a beta version of the Fresh Amplify CMMS in June 2021.
Latrobe Magnesium was confident in its future, even if its share price didn't yet reflect the value of the opportunity. With a focus on growing their reach and engagement with their shareholder community, Latrobe was able to create a new shareholder experience that enabled them to consistently add high-conviction shareholders to their registry.
For Latrobe, the emphasis was on digital shareholder engagement, and they grew their direct marketing audience and social media network from almost nothing to a combined total of 1,500 people. This growth in their audience coincided with a net growth in shareholders of ~2,000.
The benefits of their engaged shareholder base came to fruition in November 2021, when their share price jumped by ~900% due to a positive market announcement. Since this event, the share price has stabilised after some profit-taking from investors and, crucially, their shareholder base has continued to grow.
"Our shareholders have been fantastic to us, they believed in our vision and capability prior to our November '21 share price jump and have continued to believe in us and support us since. The role that Fresh Amplify has played in helping us build a high-conviction shareholder base has been significant." David Paterson, CEO of Latrobe Magnesium.
"The story of Latrobe Magnesium clearly illustrates the advantages of investing in your shareholders. With Fresh enabling them to streamline their shareholder growth strategy, the company was in the position to sustain the impact of their positive market announcement and avoid a 'pump and dump' scenario." Alex Stella, COO of Fresh.
+2,000 (~100% growth)