Masan Resources acquires HC Starck's tungsten business

On September 17, Masan Tungsten Company Limited (MTC), a wholly owned subsidiary of Masan Resources Corporation (MSR), signed a contract to acquire the tungsten business platform of HC Starck GmbH (HCS).

HCS has a team of specialized and professional technical experts in the field of research and application, as well as operating modern, highly automated factories to ensure providing customers with products of superior and stable quality.

HCS has 105 patents (granted and pending) and intellectual property for leading tungsten products such as ultrafine tungsten compounds.

Furthermore, HCS is one of the few companies in the world capable of recovering high-quality tungsten through a complex and environmentally friendly recycling process, based on technological know-how owned by HCS.

This transaction is a strategic step in MSR's vision to become a world-leading manufacturer of high-tech industrial materials based on a fully integrated value chain platform.

MSR's stable, low-cost primary APT supply, combined with HCS's recycling capabilities, will give MSR global competitiveness.

This enables MSR to generate stable cash flows across market cycles, while expanding its addressable market size by 3.5 times, from US$1.3 billion to US$4.6 billion, and making MSR a leading manufacturer of “midstream” tungsten products for key industries such as mechanical engineering and tooling, mining, automotive, energy, aviation and chemical industries.

Becoming a “midstream” tungsten product manufacturer would add significant value to the company, as high-tech tungsten products command a 30-50% premium over current APT products.

Masan Resources plans to train and develop Vietnamese experts in the high-tech materials industry.

MSR will then become a leading global high-tech industrial materials company in Vietnam. More importantly, Vietnam’s competitive position in the global tungsten market will be supported by a world-leading research, development and manufacturing platform.

This is an opportunity to train and develop technical experts in Vietnam's high-tech materials industry, as part of the globalization of MSR's business platform.

The transaction is subject to regulatory approvals (including approvals from the relevant government authorities in Vietnam). Both parties have agreed not to disclose financial terms at this stage.

Source: https://www.masangroup.com/vi/news/masan-news/masan-net-profit-up-90-2-per-cent-in-first-9-months-17.html