Malaysian King Pays Premium for Stake in Iron Ore Miner Expanding Into Rare Earths
Sultan Ibrahim bought 2.25% of Southern Alliance Mining for S$6.1 million in an off-market deal, paying 11.84% above the last close.
Malaysia’s king paid S$6.1 million for a 2.25% stake in Southern Alliance Mining, an iron ore producer expanding into rare earths.
Malaysia’s king, Sultan Ibrahim, has bought a 2.25% stake in Singapore-listed Southern Alliance Mining for S$6.1 million (US$4.76 million), Reuters reports.
The off-market deal with controlling shareholder Pek Kok Sam priced shares at S$0.425 each, an 11.84% premium to the October 12 close. Southern Alliance Mining said the transaction does not involve the company itself. Pek remains the controlling shareholder, and there will be no changes to the board, management or operations.
The rare earths angle
Southern Alliance Mining is an iron ore producer expanding into Malaysia’s rare earths industry. It already holds a 40% stake in MCRE Resources, which operates a pioneer rare earths mining site in Perak state. The firm also plans to acquire Paramount Synergy Sdn Bhd, involved in a rare earths project in Johor state.
Why it matters
Sultan Ibrahim, who is from Johor, became king in January 2024 and is expected to serve five years under Malaysia’s rotational monarchy system. Johor’s royal press office did not immediately respond to a request for comment.
The takeaway: A sitting king paid above market for a small stake in a miner expanding into rare earths.
Summary written by Oh Cannot from the original report by VnExpress. Not financial advice.
