{"slug": "chinese-metal-producer-mmg-to-raise-us-1-6-billion-selling-stocks-and-bonds", "title": "Chinese metal producer MMG to raise US$1.6 billion selling stocks and bonds", "summary": "Chinese metal producer MMG plans to raise US$1.6 billion through a share placement and convertible bonds to fund expansion, capitalizing on rising demand for critical metals driven by AI infrastructure buildout. The company will sell 705.9 million shares at HK$8.88 each and offer US$800 million in convertible bonds, with proceeds used for loan refinancing, project expansion, and acquisitions.", "body_md": "Advertisement\n\n# Chinese metal producer MMG to raise US$1.6 billion selling stocks and bonds\n\nFirm to capitalise on AI-led price spike of critical metals used to create chips, generate electricity and support computing power\n\n2-MIN READ2-MIN\n\nListen\n\n[Zhang Shidong](/author/zhang-shidong)in Shanghai\n\nMMG, the offshore metal-producing unit of state-backed China Minmetals Corp, plans to raise a combined US$1.6 billion selling placement shares and convertible bonds to fund business expansion amid rising demand for metals driven by\n\n[artificial intelligence](https://www.scmp.com/topics/artificial-intelligence?module=inline&pgtype=article)(AI) infrastructure buildout.The company, which produces metals including\n\n[copper, zinc and gold](https://www.scmp.com/business/china-business/article/3340717/china-unveils-18-point-plan-boost-global-non-ferrous-metals-pricing-power?module=inline&pgtype=article), planned to rake in HK$6.27 billion (US$800.4 million) from a placement of 705.9 million shares through the Hong Kong stock exchange. It also intended to raise US$800 million from the offering of bonds that could be converted into Hong Kong-listed shares in due time, MMG said in a statement to the city’s bourse.MMG is taking advantage of a boom on critical metals, which form part of the\n\n[global AI mania](https://www.scmp.com/business/china-business/article/3356617/global-ai-trade-flashing-signals-reminiscent-dotcom-bust-analysts-warn?module=inline&pgtype=article)that has fuelled price gains from chip memories to copper and other commodities used to generate electricity to support computing power. Copper futures have risen 15 per cent in New York this year.Advertisement\n\nShares of MMG tumbled 11 per cent to HK$8.71 on Tuesday, erasing all of the annual gain this year.\n\nMMG would use proceeds from the stock and bond offerings to refinance existing loans, support project expansion, fund strategic acquisitions and investments, and replenish working capital, according to the exchange filing.\n\nAdvertisement\n\nThe metal producer would sell the stock for HK$8.88 each, translating into an 8.8 per cent discount to the close price on Monday, it said. The amount of the placement shares would represent about 5.5 per cent of the enlarged number of total stocks, the company stated.\n\nAdvertisement\n\nSelect Voice\n\nSelect Speed\n\n1.00x", "url": "https://wpnews.pro/news/chinese-metal-producer-mmg-to-raise-us-1-6-billion-selling-stocks-and-bonds", "canonical_source": "https://www.scmp.com/business/china-business/article/3357234/chinese-metal-producer-mmg-raise-us16-billion-selling-stocks-and-bonds?utm_source=rss_feed", "published_at": "2026-06-16 03:44:51+00:00", "updated_at": "2026-06-16 03:52:10.934791+00:00", "lang": "en", "topics": ["artificial-intelligence", "ai-infrastructure"], "entities": ["MMG", "China Minmetals Corp", "Hong Kong Stock Exchange"], "alternates": {"html": "https://wpnews.pro/news/chinese-metal-producer-mmg-to-raise-us-1-6-billion-selling-stocks-and-bonds", "markdown": "https://wpnews.pro/news/chinese-metal-producer-mmg-to-raise-us-1-6-billion-selling-stocks-and-bonds.md", "text": "https://wpnews.pro/news/chinese-metal-producer-mmg-to-raise-us-1-6-billion-selling-stocks-and-bonds.txt", "jsonld": "https://wpnews.pro/news/chinese-metal-producer-mmg-to-raise-us-1-6-billion-selling-stocks-and-bonds.jsonld"}}