Southeast Asia Cement Holdings Inc. (Seacem) is set to change its corporate name to Global Ferronickel Holdings Inc. next week in line with the backdoor listing plans of Platinum Group Metals Corp. using Seacem.
In a disclosure to the stock exchange, Seacem said its name change will take effect on January 14.
The name change was approved by the board of directors on September 10 last year, and stockholders approved it last October 22, while Securities and Exchange Commission gave its permission on December 22.
The backdoor listing of PGMC will be done via Seacem’s acquisition of a 99-percent stake in PGMC, where PGMC “will be injected into Seacem and will become a subsidiary of Seacem.”
The backdoor listing method enables a company to debut on the exchange via the acquisition of an existing listing company. Listing in this method is cheaper than initial public offerings (IPOs), which require a follow-on offering of shares within 12 months after listing.
PGMC through Seacem will be the first backdoor debut on the market this year.
As of end-August, PGMC’s net income stood at P3.9 billion while its revenues totaled P8 billion.
PGMC reported it has mined 5.5 million metric tons (MT) of nickel ore in the first eight months of 2014, already close to the 6.3 million MT target capacity for the year and 40 percent higher than the actual 4.5 million MT volume shipments in 2013.
The company’s nickel ores are exported to China (90 percent) and Australia (10 percent).