KUCHING: The Sarawak Economic Development Corporation (SEDC) has trimmed its stake in Cahya Mata Sarawak Bhd (CMS), disposing of 3.5 million shares on the open market on July 28.
CMS’ share price on that day swung between RM1.23 and RM1.40 before ending 12 sen lower, though SEDC did not disclose the selling price.
Following the disposal, SEDC’s shareholding in CMS dropped to about 57.39 million units or 5.341 per cent, according to a filing with Bursa Malaysia.
As at March 31, 2025, SEDC held 60.89 million shares (5.67 per cent), making it the fourth largest shareholder in the Sarawak-based conglomerate.
The move comes a week after CMS awarded a RM673-million contract to Sinoma Industry Engineering (M) Sdn Bhd to build a 6,000-tonne-per-day clinker line at its Mambong integrated cement plant near Kuching.
The project, set to be completed in 21 months, will more than double CMS Cement’s annual clinker capacity from 900,000 tonnes to 1.9 million tonnes.
SEDC and CMS have a long-standing joint-venture relationship.
In September 2020, CMS ceded its controlling stake in quarry and premix operations, as well as road construction and maintenance businesses, by selling a 2 per cent interest in CMS Resources Sdn Bhd and PPES Works (Sarawak) Sdn Bhd to SEDC for RM17.5 million.
That transaction gave SEDC a 51 per cent majority stake in both entities.
In a separate development, Press Metal Aluminium Holdings Bhd said its wholly owned subsidiary, Press Metal International Resources (HK) Ltd, has completed the fourth tranche of its investment in Indonesia-based PT Kalimantan Alumina Nusantara (KAN), subscribing to 40 million Series E shares for USD40 million (RM170 million).
The move is part of a broader joint venture between Press Metal, PT Alakasa Alumina Refinery (AAR), PT Dinamika Sejahtera Mandiri (DSM), and PT KAN to develop an integrated alumina refinery, jetty and supporting infrastructure in Sanggau, West Kalimantan, Indonesia.
Phase 1 of the refinery is expected to produce 1.2 million tonnes of alumina annually, with potential for expansion to double capacity. The total development cost of the first phase stands at USD750 million (RM3.17 billion).
Press Metal and its affiliates will hold an 80 per cent equity stake in KAN for a total investment of RM1.036 billion, spread over seven tranches using internally generated funds.
AAR and DSM will own 19.77 per cent and 0.23 per cent stakes, respectively.
As Southeast Asia’s largest integrated aluminium producer, Press Metal operates smelters in Bintulu and Mukah.
The KAN project is expected to enhance its self-sufficiency in alumina – the key raw material for aluminium production -once supply begins.
