Masan High-Tech Materials successfully completed divestment at HCStarck

On December 18, 2024, Masan High-Tech Materials (HNX-UpCOM: MSR, "MHT" or the "Company") announced that it had successfully completed the transfer of 100% of the shares in HC Starck Holding (Germany) GmbH (“HC Starck”, “HCS”) to Mitsubishi Materials Corporation (“MMC”) Group. The transaction was first announced in May 2024 (the “Transaction”).

As part of the Transaction, MHT and HCS have entered into a mutually beneficial long-term offtake agreement for APT and tungsten oxide, providing a solid foundation for MHT to maximize its order book. Masan will retain ownership and potential profits in Nyobolt, a UK-based company that provides fast-charging battery solutions using tungsten and niobium at the anode. Nyobolt is approaching large-scale commercialization. For the “black mass” recycling technology developed by HCS, Masan will retain the exclusive right to receive a portion of the profits when this technology is commercialized in the future. Upon completion of the Transaction, Masan Group will record a one-time gain after tax. The proceeds from the Transaction will be used to reduce MHT’s debt from approximately USD 670 million to approximately USD 490 million. Masan Group’s net debt to EBITDA ratio is expected to be approximately 3.17x by the end of 2024, in line with the Group’s target to maintain this ratio below 3.5x. Mr. Danny Le, CEO of Masan Group and Chairman of MHT, shared: “The HCS disposal is the first step in implementing our strategic reorientation to focus on core businesses where we can create superior shareholder value. At the same time, we are focused on optimizing MHT’s operations to maximize favorable factors, including MHT’s stronger balance sheet, which will reduce its interest burden, and growing demand for tungsten applications due to the recovery of the global economy .”

Source: https://www.masangroup.com/vi/news/masan-news/Masan-High-Techmaterials-successfully-exited-its-downstream-business-HCStarck.html