Nanshan Aluminium International Holdings Limited, partly owned by Press Metal Aluminium Holdings Bhd, has reportedly made it to the Main Board of the Hong Kong Stock Exchange (HKEX) on Tuesday, March 25, 2025.
Bearing the stock code 2610, the company has debuted with an initial public offering (IPO) of HKD 26.60 (RM 15.18), expecting to generate a net value of HKD 2.22 billion. This amount will be primarily used for building and expanding the second 1 million tonnes alumina production facility in Bintan, Indonesia, including constructing ancillary equipment at a deep-water port, expanding capacity in the coal gasification plant, and acquiring machinery and equipment.
In July 2024, Press Metal acquired a 25.59% stake in Nanshan Aluminium International Holdings through a share swap in exchange for its 25% stake in PT Bintan Alumina Indonesia (PTBAI). Press Metal obtained a 25 per cent stake in PTBAI in 2020 to secure a stable alumina supply for its domestic primary aluminium production and reduce dependence on third-party suppliers. As part of the share swap exercise, Press Metal also sold its 25% stake in PTBAI to Hong Kong Prime Aluminium Investment Ltd (HKPAI) for USD 329.8 million (RM 1.46 billion).
Starting as a local aluminium extrusion company in 1986, Press Metal has evolved into a world-class producer, expanding its reach and bringing several prominent companies under its umbrella. Nanshan Aluminium International Holdings (NAIHL), which is a subsidiary of Press Metal, alone generated a net profit of USD 266.33 million during the first nine months of 2024, compared to USD 117.44 million a year ago. The revenue rose 41.5 per cent to USD 683 million versus USD 482.7 million in 2023.
In 2024, Press Metal generated RM14.91 billion in revenue, an increase from RM13.8 billion in 2023. Looking ahead to 2025, the company is expected to experience further growth, with a 28 times forward price-earnings ratio. Based on this, UOB Kay Hian (UOBKH) Research has issued a "buy" recommendation with a target price of RM6.30.
The controlling shareholders of NAIHL, including Press Metal, Nanshan Aluminium Investment Holding Limited and Redstone Alumina International Pte Ltd, are subject to a lock-up period until March 24, 2026. Meanwhile, cornerstone investors such as Glencore International AG, Hongkong Topway Trading Co Ltd, and Xiamen Xiangyu Co Ltd have a lock-up period that expires on September 24, 2025.
Following the announcement of the share listing, Press Metal's stock closed up by one sen, or 0.2 per cent, at RM5, giving the company a market capitalisation of RM41.19 billion.
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