MSR Sells 4.99% Stake to US Elmet Group at $2.5B Valuation, Signs $1.5B Tungsten Offtake

Overview

Masan High-Tech Materials (MSR), the tungsten and strategic materials arm of Masan Group, announced a strategic partnership with US-based Elmet Group Co. (NASDAQ: ELMT) under which Elmet will acquire a 4.99% equity stake in MSR at a $2.5 billion equity valuation. The transaction is paired with an eight-year offtake agreement covering committed volumes of about 1,250 tonnes of WO3 equivalent per year, worth an estimated $1.5 billion in gross revenue at prevailing tungsten prices. The news matters for MSR because it introduces an independently listed NASDAQ counterparty as both shareholder and long-term customer.

Key Facts

• Elmet Group will acquire a 4.99% stake in MSR at a $2.5 billion equity valuation, based on MSR’s achieved earnings results.
• The offtake runs more than eight years and covers committed volumes of approximately 1,250 tonnes of WO3 equivalent per year.
• Estimated gross revenue from the offtake is about $1.5 billion over the initial partnership term, at current tungsten prices.
• MSR shares rose 3,800 VND, or 7.13%, to 57,100 VND per share on 24 September, with more than 2 million shares traded and market capitalization up nearly 4,200 billion VND.
• MSR stock has gained roughly 70% over the two months since late July.
• In H1 2026, MSR reported revenue of about $423 million and after-tax profit of about $83 million; Q2 alone contributed $309 million in revenue and $63 million in after-tax profit.
• Full-year 2026 guidance is approximately $1.4 billion in revenue and $233 million in after-tax profit; MSR also declared a first-ever dividend totaling 1,100 billion VND (about $42 million).
• Jefferies Singapore Limited acted as MSR’s sole financial advisor; both parties target completion in the first half of October.

What Happened

According to the company announcement, Elmet Group Co., a US-headquartered supplier of tungsten alloys and strategic mineral products to major North American customers, will subscribe to 4.99% of MSR’s shares. The pricing implies a $2.5 billion equity valuation for MSR and, per the company, creates an independent reference point for MSR’s value from a NASDAQ-listed strategic partner that has been part of its supply chain for more than 12 years. The commercial agreements take effect only after the equity transaction closes.

Completion remains subject to customary conditions, including required approvals from regulators and from the competent corporate authorities of the parties. MSR said both sides aim to close in the first half of October. The announcement follows MSR’s earlier disclosure of a “Global Strategic Materials Platform” initiative, which it says could add 115 million tonnes of polymetallic tungsten resources and lift tungsten oxide capacity to more than 8,000 tonnes of WO3 per year.

Market Context

MSR trades on UPCOM, Vietnam’s unlisted public company market. The stock closed at 56,000 VND on 24 September, up 4.49% on volume of 2,807,200 shares, a session that followed the partnership disclosure and extended a rally of roughly 70% since late July. The move adds to a broader re-rating of Vietnamese materials and resource names tied to strategic minerals, where tightening global supply of tungsten and other critical inputs has drawn interest from Western industrial buyers seeking non-China sources.

Strategic Significance

The core thesis is vertical integration plus demand certainty. A binding multi-year offtake converts MSR’s tungsten output into a visible revenue backlog, which supports capacity planning at the expanded tungsten oxide lines and reduces exposure to spot APT price swings. Selling 4.99% keeps MSR below the 5% threshold that would typically trigger a public takeover or mandatory offer regime in many jurisdictions, while still giving Elmet a commercial stake that aligns incentives. For long-term holders, the deal reframes MSR from a cyclical commodity processor into a supplier embedded in a US-listed strategic materials chain, a positioning that matters as Western governments push to diversify critical mineral sourcing away from China.

What to Watch

• Transaction closing, targeted for the first half of October, and confirmation of regulatory and corporate approvals.
• Disclosure of the final subscription price and share count behind the $2.5 billion equity valuation.
• Q3 2026 results for evidence that tungsten volumes, APT pricing and processing utilization are tracking toward the $1.4 billion revenue and $233 million profit guidance.
• Progress on the 115 million tonne resource addition and the expansion of tungsten oxide capacity beyond 8,000 tonnes of WO3 per year.
• Any follow-on purchases by Elmet that would push its holding above the 5% threshold, and related foreign-ownership or disclosure filings.