Strategic Timing for a Critical Mineral Producer
Almonty Industries, a Canadian-based tungsten and molybdenum producer, has officially filed for a $75 million initial public offering (IPO) on the Nasdaq under the ticker symbol ALM. The move comes as global demand for critical minerals—particularly tungsten—rises amid geopolitical instability and increasing military applications. With an offer price range set at $5.68 per share and 13.2 million shares to be issued, the company aims to raise capital to accelerate development of its flagship assets and strengthen its U.S. presence.
Tungsten’s extreme hardness and high melting point make it indispensable in applications such as armor-piercing ammunition, missile components, hypersonic weapon systems, and radiation shielding. However, global tungsten supply is heavily concentrated in China, Russia, and North Korea—creating a strategic vacuum that Almonty intends to fill.
Vertical Integration and Strategic Assets
Almonty’s competitive advantage lies in its vertically integrated approach across the tungsten value chain. It operates mines in Portugal (Panasqueira), Spain (Los Santos and Valtreixal), and South Korea (Sangdong). The Sangdong mine, in particular, is expected to become the world’s largest tungsten producer outside of China once full production ramps up in 2025. The project has already attracted strategic financing from Germany’s KfW IPEX-Bank, with a $75 million loan under highly favorable terms (SOFR + 2.3%).
The company is also advancing a molybdenum oxide production capability and holds additional deposits with long-term potential. These assets place Almonty at the core of the West’s efforts to secure conflict-free, non-Chinese critical mineral supply chains.
Defense Contracts and Offtake Agreements
One of Almonty’s most significant strategic wins is a 15-year floor-priced offtake agreement with a major U.S. defense contractor for tungsten concentrate. This agreement underpins predictable cash flows and enhances creditworthiness as the company scales up operations.
Additionally, Almonty has secured a second offtake deal specifically for tungsten oxide, designated for U.S. defense applications, and a third with Korean conglomerate SeAH M&S for future molybdenum production. These long-term contracts provide downside protection and revenue visibility in a highly volatile commodity sector.
Transitioning to a U.S. Base of Operations
As part of its IPO strategy, Almonty is redomiciling from Canada to Delaware, USA, signaling its intent to become one of the only U.S.-based tungsten producers. This redomiciliation enhances its attractiveness to U.S. institutional investors and aligns the company with American strategic resource priorities.
Given rising tensions with China and the Biden and Trump administrations’ shared focus on domestic sourcing of critical minerals, Almonty’s U.S. pivot is both a geopolitical and capital markets play.
Financial Profile and Market Perception
Over the twelve months ending March 2025, Almonty generated $21 million in revenue but posted a net loss of $34 million, largely due to upfront infrastructure investment and mine development costs. The IPO proceeds are expected to bridge the capital gap until Sangdong reaches cash flow positive operations.
The market, however, remains optimistic. Shares trading on the Toronto Stock Exchange (TSX: AII) surged over 9% following the IPO announcement. Analysts at B. Riley upgraded the stock to “Strong Buy,” citing favorable tungsten pricing and long-term U.S. defense alignment.
In another show of confidence, Alan Estevez, a former U.S. Under Secretary of Commerce for Industry and Security, joined Almonty’s Board—highlighting the company’s policy-level relevance.
IPO Outlook and Strategic Implications
Almonty’s listing on Nasdaq not only increases its visibility in global capital markets but also reinforces its role as a cornerstone of Western critical mineral security. The company is positioned to benefit from bipartisan U.S. policy backing, European export demand, and reshoring of military supply chains.
With proceeds from the IPO, Almonty plans to:
Accelerate the Sangdong mine to full production.
Advance molybdenum oxide development.
Expand U.S. operations and downstream processing capabilities.
For investors, this IPO offers exposure to one of the few pure-play tungsten producers in the Western Hemisphere—with long-term defense contracts, geopolitical tailwinds, and vertical integration that differentiates it from junior miners.
