Almonty Industries

Almonty Industries is benefiting from rising tungsten prices and the growing importance of critical raw materials. The company has announced a share buyback program intended to stabilise the share price. At the same time, Almonty is positioning itself strategically as a Western supplier and is using capital measures to strengthen business development. » More on finanzen.net

Almonty has placed senior convertible bonds with a principal amount of $700 million; the securities carry a 2.25% coupon and mature in 2031. The initial purchasers fully exercised the $100 million overallotment option, and the net proceeds amount to about $772.7 million. The private placement was made under Rule 144A to qualified institutional buyers and is large relative to a market capitalization of $329 million and recent trading volume of $296 million. The company says the financing strengthens the balance sheet and increases flexibility to further develop the Sangdong mine; the bonds and any shares issued on conversion are not registered. » More on de.investing.com

Almonty Industries plans to place a senior, unsecured convertible bond of $700 million (with an option for an additional $100 million), with net proceeds to be used for debt repayment, a capped-call hedge and operational purposes. CFO Jorge Beristain says the refinancing aims to stabilise liquidity and advance strategic mine projects such as Sangdong. Investors fear significant dilution of common shares, prompting a sharp share price drop; market participants should watch the coupon, conversion price and any further operational updates ahead of the June 9 AGM. » More on finanzen.net