Market data including bonds and fuel prices
The miner has instituted projects to decrease the social wage deficit, ranging from education to roads
President laments that scarcely a day passes without reports about men attacking, violating and killing women
Chair Siboniso Duma says province may well support Ramaphosa for a second term
Antitrust suit would be the US justice department’s second case against Google
The Trump-era tariffs on imported metals have been eased for some other countries
In the wake of SAA’s near-demise Comair’s market share crept up to 35%-40% by the time it too collapsed
Ahmad Abouammo was found guilty of turning over personal information of platform users who’d criticised the Saudi royal family
Failure to win on Saturday would put coach Ian Foster and captain under pressure in terms of their future with the team
Nicholas Yell trades SUV for saddle and makes his way from Bot River to Merweville and on to Kruisrivier
Aluminium products group Hulamin’s stock soared almost 40% on Thursday, almost doubling in the week to date, after the company said it was in talks that may affect its stock.
Hulamin, now valued at R1.4bn on the JSE, did not go into detail about the discussions, but its shares rose to as much as R4.43 each — their highest since April 2019.
In afternoon trade the group was trading 38% higher at R4.41, on track for its best day since listing in 2007, which followed its unbundling from Tongaat Hulett.
Hulamin has rocketed since Monday, amid speculation that rising prices of the highly recyclable metal would boost the value of the group’s inventory. The Pietermaritzburg-based group reported inventories of R2.63bn at the end of June, when aluminium fetched $2,512 per tonne. It has since risen to $3,156.19 per tonne.
In rand-terms, that is a rise of about 29%.
David Shapiro from Sasfin Securities said the cautionary announcement, and the share moves, raised questions about what information may be out there in the market.
“There is no doubt there is value in the operation. Last year the market value was under R500m,” he said. Hulamin, which buys, processes, and then sells aluminium products, may score off excess stock, said Shapiro, but would also need to replace inventory, and the question then was whether it could pass on price increases.
Hulamin declined to comment.
Aluminium prices have surged to a 13-year high recently, driven by a recovery in automotive production in 2021, while China has also been curbing emissions in energy-intensive industries such as steel and aluminium, leading to supply concerns.
A military coup in Guinea in September also has boosted prices because the West African country has the world’s largest reserves of bauxite, an aluminium-rich ore.
Update: October 14 2021This article has been updated with additional information and industry comment.
Would you like to comment on this article? Register (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.