Southern Alliance Mining Ltd. has successfully completed the acquisition of a 40% stake in MCRE Resources Sdn. Bhd., marking a significant expansion in its resource portfolio. This transaction, classified as a disclosable and interested person transaction under the Catalist rules, was finalised after fulfilling all conditions precedent outlined in the Sale and Purchase Agreement.
The acquisition was completed with SAM Advance Minerals Holding Sdn. Bhd. becoming the beneficial owner of the MCRE shares. The transaction involved the issuance of 147.98 million new shares, valued at approximately $48.5 million (S$66.2 million), to the vendors. These shares represent 23.2% of the enlarged share capital of Southern Alliance Mining and will be listed on the Catalist Board of the Singapore Exchange on or around 15 September 2025.
The vendors, Dato’ Sri Pek, Dato’ Teh, and Dato’ Lee, received shares valued at $20.1m (RM94.9m), $20.1m (RM94.9m), and $6.2m (RM29.2m) respectively. Additionally, a remaining consideration of $4.9m (RM23.40m) will be paid over four years, with annual instalments beginning on the first anniversary of the completion date.
With this acquisition, MCRE Resources becomes an associated company of Southern Alliance Mining, enhancing its strategic position in the mining sector.
