Global Ferronickel plans to expand overseas
Global Ferronickel Holdings Inc., formerly known as Southeast Asia Cement Holdings (Seacem), is preparing itself for an overseas expansion with plans to grow its customer base in China and Australia as well as locate new countries where it can potentially establish its presence.
Seacem is the backdoor listing vehicle of Platinum Group Metals Corporation (PGMC). Once all the pending regulatory requirements for the said backdoor listing have been settled, Seacem’s listed corporate name will be officially changed to Global Ferronickel.
A filing with the Securities and Exchange Commission (SEC) specified the company’s intention to expand into other countries as well as strengthen its customer base in China and Australia as part of its key growth strategies.
“We intend to further develop the existing relationships in our key markets such as China and Australia, and also explore new opportunities in other regions and countries,” Global Ferronickel said.
The company said it believes there is still currently favorable economic and business climate for mining companies and it aims to take full advantage of its “flexible and large” nickel ore supply and its proximity to other key markets outside the country.
“We also intend to increase our proportion of direct sales to end users, most notably smelters in China, as we believe this will generate consistent demand for our products while minimizing our overall credit risk,” Global Ferronickel added.
A former cement company, Global Ferronickel is now slowly transforming itself as a mining company with the upcoming takeover of PGMC within the group.
PGMC is a mining company that develops nickel ore deposits and smelting plants across the country.
As part of its transformation, Global Ferronickel recently got its board approval to enter into a Memorandum of Agreement (MOA) to purchase 126.5 million common shares or 100 percent of Ferrochrome Resources, Inc., formerly Golden Harvest Global Corporation.
The company is also set to purchase a total of 500,000 common shares and 6.25 billion preferred shares of Southeast Palawan Nickel Ventures, Inc. representing 100 percent of its outstanding capital stock.
A few days ago, Global Ferronickel had sought regulatory approval to sell more than seven billion company shares the public to raise as much as 31 billion.
In a recent filing with the Securities and Exchange Commission (SEC), Global Ferronickel said it intends to sell up to 6.16 billion shares with an overallotment option of up to 924.72 mil- lion shares next year. The offer price is temporarily set at 4.38 per share.