Almonty Capitalizes on Geopolitical Tailwinds: $800M Convertible, Russell Entry, and 221% Revenue Jump Reshape Tungsten Landscape
12.06.2026 - 14:13:30 | boerse-global.de
Investor sentiment around Almonty Industries has undergone a dramatic shift in recent weeks, as the company secures a trifecta of catalysts: an oversubscribed $800 million convertible bond, a pending upgrade to the Russell 1000 and 3000 indices, and a first-quarter revenue surge that far exceeded expectations.
The convertible bond, which carries a 2.25% coupon and matures in 2031, was increased by a fully exercised $100 million greenshoe option. The capital will directly support the ramp-up of Almonty’s flagship Sangdong mine in South Korea, which officially commenced production in March 2026. To shield existing shareholders from dilution, management executed capped-call transactions triggered at a share price of $41.36.
At the same time, the company’s board received a resounding vote of confidence at the June 9 annual meeting. While CEO Lewis Black secured around 79% support and directors Daniel D’Amato and Mark Trachuk each earned just over 60%, two former U.S. generals—Gustave F. Perna and Alan Estevez—garnered approval rates above 99%. The result underscores broad shareholder backing for Almonty’s pivot toward the defense supply chain, a strategy reinforced by its recent relocation of headquarters to Montana.
Should investors sell immediately? Or is it worth buying Almonty?
That pivot is aided by a powerful geopolitical tailwind: from January 2027, the U.S. government will ban Chinese tungsten from domestic military supply chains. The policy directly benefits Western producers like Almonty, whose Sangdong deposit ranks among the world’s largest tungsten reserves.
Operationally, the first quarter of 2026 already reflected the momentum. Revenue soared 221% to $25.4 million, propelled by elevated spot tungsten prices and steady output from the Panasqueira mine in Portugal. Adjusted EBITDA swung to a positive $6.1 million from a $2.4 million loss a year earlier. The net loss narrowed to $5.3 million, driven by the absence of a prior non-cash valuation charge, while the company’s cash position swelled to approximately $260 million.
On June 11, the shares jumped nearly 12% on the Toronto Stock Exchange to close at C$23.78, as fears of dilution from the convertible bond receded. Meanwhile, a separate listing in Europe saw the stock trade at €14.76 on Friday morning. The real structural catalyst arrives on June 29, when Almonty joins the Russell 1000 and Russell 3000 indices—a move that forces ETF and index fund managers to initiate large-scale purchases, effectively creating a floor for the stock.
To oversee this rapid expansion, Almonty has also strengthened its management team. Jorge Beristain assumed the role of chief financial officer on June 1, replacing Brian Fox. Beristain’s previous experience includes senior positions at Ryerson Holding and Deutsche Bank. With the Sangdong mine now transitioning to commercial operations and the second half of the year stacked with guaranteed institutional inflows, the company appears well-positioned to deliver on the production targets central to its western tungsten strategy.
Ad
Almonty Stock: New Analysis - 12 June
Fresh Almonty information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
