MSR Successfully Places 2% Stake, Strengthening Free Float and Supporting Path to HOSE Listing

On 13 May 2026, Masan Group Corporation (HOSE: MSN) announced that its wholly owned subsidiary has successfully sold 21.99 million shares, equivalent to 2% of the outstanding shares of Masan High-Tech Materials Corporation (UPCoM: MSR), through transactions conducted on the UPCoM trading system in accordance with applicable regulations.

Following the transaction, Masan Group’s ownership in MSR decreased from approximately 94.89% to 92.89%, while MSR’s free float increased to 7.11%, supporting improved market liquidity and broader investor participation.

“Critical minerals are no longer just a mining story, they are a matter of national security and the global technology race. MSR is not simply a tungsten mining company; it is building a rare tungsten materials platform that plays a critical role in supply chains for AI chips, defense systems, and advanced manufacturing. Tungsten resources are finite while demand continues to expand. This positions MSR as a globally strategic asset – irreplaceable and increasingly valuable over time, capable of generating strong and sustainable long-term cash flows,” said Danny Le, CEO of Masan Group.

Phase 1 of the share placement has been successfully completed, with demand exceeding the number of shares offered. The transaction enables MSR to maintain its public company status, increase free float, enhance stock liquidity, and strengthen capital market recognition ahead of its planned 2027 transfer of listing to the Ho Chi Minh Stock Exchange (HOSE).

Employees of Masan Group also participated in the transaction with a three-month transfer restriction commitment, underscoring internal confidence in MSR’s long-term growth trajectory.

The continued surge in tungsten prices is supporting increasingly strong cash generation for MSR, accelerating its deleveraging roadmap. The company targets a Net Debt/EBITDA ratio of approximately 0.1x by the end of 2027, assuming APT prices remain above USD 1,500 per mtu.

As MSR progressively reduces debt through operating cash flows, proceeds from the share placement will also support Masan Group’s balance sheet optimization, with a target to bring MSN’s Net Debt/EBITDA ratio below 2.0x by the end of 2026.

According to the announcement dated 1 April 2026, Masan’s wholly owned subsidiary plans to divest up to 5% of MSR’s outstanding shares, equivalent to 54.99 million shares, over a 12-month period.

During Phase 1, subscription demand exceeded the shares offered, with approximately half of the demand coming from Masan employees and existing MSN shareholders who qualify as professional securities investors, reflecting strong confidence in MSR’s long-term value proposition.

This transaction represents the first step in MSR’s broader value-enhancement roadmap, which includes maintaining public company status, expanding free float, improving stock liquidity, and strengthening capital market visibility ahead of the planned listing transfer to HOSE in 2027.

Future share placements may be extended to strategic investors, institutional investors, and qualified individual investors, as interest in MSR continues to increase. The company operates one of the few large-scale tungsten platforms outside China, positioning it as a critical supplier within the global strategic materials supply chain.

In Q1 2026, MSR reported net revenue of VND 2,993 billion, representing a 114.9% year-on-year increase, and achieved a record quarterly NPAT Post-MI of VND 537 billion. Earnings in Q2 2026 are expected to continue improving, bringing MSR closer to achieving, or potentially exceeding, its FY2026 targets of VND 20,300 billion in revenue and VND 2,500 billion in NPAT Post-MI, while aiming to reduce its Net Debt/EBITDA ratio to below 1.7x by year-end.

Global tungsten prices have risen to above USD 3,000 per mtu, marking an increase of approximately 700% over the past 12 months. The rally is driven by structural supply constraints, including aging mines, declining ore grades, long project development cycles, and high capital intensity, alongside tightening export controls from China. Meanwhile, demand continues to accelerate across AI, semiconductors, defense, energy, and advanced manufacturing, sectors where tungsten remains a critical material with limited substitutes. Rising geopolitical tensions, strategic stockpiling by Western economies, and the search for secure and diversified supply chains are further reinforcing tungsten’s strategic importance.

Assuming average APT prices remain above USD 1,500 per mtu, MSR aims to reduce its Net Debt/EBITDA ratio to approximately 0.1x by the end of 2027 and reach a net cash positive position by the end of 2028, positioning the company as a stable long-term cash-generating platform with strong dividend potential.

Source: VietStock