KUCHING: Press Metal Aluminium Holdings Bhd’s associated company, Nanshan Aluminium International Holdings Limited (NAIHL), has proposed a listing on the Hong Kong Stock Exchange (HKSE) Main Board.
On March 4, NAIHL submitted a post-hearing information pack to HKSE in connection with the proposed listing, and the information pack has been published on the HKSE website, Press Metal said in a filing with Bursa Malaysia recently.
Press Metal said that the post-hearing information pack is in draft form and may be subject to changes from time to time. Any updated versions will be disclosed on the HKSE website.
“The proposed listing is subject to the approval of HKSE and the final decision of NAIHL and is contingent on market conditions and other factors.
“Neither this announcement nor the publication of the post-hearing information pack constitutes an offer, an inducement, or an invitation to the public to subscribe for or purchase any shares or securities,” said Press Metal, which is Southeast Asia’s largest integrated aluminium smelter, owning smelting plants in Bintulu and Mukah.
On July 11, 2024, Press Metal completed a swap of its direct equity interest in PT Bintan Alumina Indonesia (PT BAI) for a direct equity interest in NAIHL.
The share swap involved the disposal of Press Metal’s 25 per cent equity interest in PT BAI to Hong Kong Prime Aluminium Investment Limited for nearly US$329.8 million (equivalent to RM1.555 billion).
Subsequently, Press Metal’s wholly-owned subsidiary, Press Metal International Resources (HK) Limited, subscribed for approximately 25.59 per cent equity interest in NAIHL for the same amount of US$329.8 million.
PT BAI is principally involved in the production of aluminium oxide (alumina). It owns and operates an alumina plant with an annual output of two million tonnes, a thermal power plant, and a self-contained port in Indonesia.
According to Press Metal, the share swap allows the company to continue leveraging the intangible benefits of its investment, including enhanced technical capabilities along the aluminium and alumina production chain, as well as improved cost and capital efficiency in the supply chain.
Press Metal added that the share swap aligns with the group’s expansion initiatives and supports its growth strategy in response to the increasing global demand for primary aluminium.
“Aluminium and alumina present significant opportunities, driven by their wide range of applications and growing demand across various industries. Aluminium, known for its lightweight properties, strength, and recyclability, is increasingly favoured in the transport, construction, packaging, machinery, and electrical sectors, where efficiency and sustainability are paramount. Alumina, the primary raw material for aluminium production, is expected to see demand grow in tandem.
“The shift towards electric vehicles and renewable energy investments further bolsters demand for aluminium, as it plays a crucial role in the production of lightweight components that enhance energy efficiency.
“Overall, the prospects for aluminium and alumina remain robust, with continued growth fuelled by emerging green industries,” it added.
