MALAYSIA SMELTING CORPORATION MAKES TRADING DEBUT ON THE SGX-ST - Closes at S$1.78 per share, a 1.7% gain from its offering price

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1 NEWS RELEASE MALAYSIA SMELTING CORPORATION MAKES TRADING DEBUT ON THE SGX-ST - Closes at S$1.78 per share, a 1.7% gain from its offering price Singapore, January 27, 2011 Malaysia Smelting Corporation Berhad ( MSC or the Company, together with its subsidiaries, the Group ) (Bursa Malaysia Stock Code: 5916 ; SGX-ST Stock Code: 5890), an integrated tin mining and tin smelting group, in conjunction with its secondary listing, made its trading debut on the Main Board of the Singapore Exchange Securities Trading Limited ( SGX-ST ). The Company s shares closed at S$1.78 per share, a gain of 1.7% from its offering price of S$1.75, with approximately 6.3 million shares changing hands. In total, this represented an aggregate turnover of approximately S$11.2 million on MSC s first trading day on the SGX-ST. Dato Seri Dr Mohd Ajib Anuar, Chief Executive Officer and Executive Director of MSC, said, Our secondary listing in Singapore marks an important milestone for MSC, and we would like to thank all our investors for their support. With this successful Offering, we aim to capitalise on our enhanced corporate profile in the region as well as capital position to tap the market opportunities in the tin industry. We will continue to work hard at enhancing shareholder value so that all our investors will enjoy the rewards of the Company s growth strategies. Page 1 of 7

2 MSC is a subsidiary of The Straits Trading Company Limited ( STC ), a diversified resources, property development and hospitality company which is listed on the SGX-ST. MSC s smelting operations had its origins in 1887 after STC set up a smelting facility in Singapore. Ms Chew Gek Khim, Executive Chairman of STC, commented: This is an exciting and historic day for Malaysia Smelting Corporation, and in turn, The Straits Trading Company. MSC is the first dual listing on both the Bursa Malaysia and the SGX-ST since the mutual de-listing of cross listed stocks on the Kuala Lumpur Stock Exchange and the Singapore Stock Exchange in Against the backdrop of the close bilateral ties between Malaysia and Singapore, this is testament to the confidence in the bourses on both sides of the Causeway. With a listing status both in Malaysia and Singapore, MSC will enjoy a wide range of options to access capital and maximise its growth potential. This will ultimately reap benefits for both the shareholders of MSC and STC. The Offering In connection with its secondary listing on the Main Board of the SGX-ST, MSC s offering comprised 25,000,000 ordinary shares of RM1.00 each ("Offering Shares") at the offering price of S$1.75 per Share (the Offering ). Both institutional and retail demand were strong, with the Offering being approximately 1.9 times subscribed at the close of the Offering on January 25, Page 2 of 7

3 MSC has been listed on the Main Market of Bursa Malaysia Securities Berhad (the Bursa Malaysia ) since December 15, The Company s shares are traded in board lot sizes of 100 Shares in Malaysian Ringgit and in Singapore dollar on the Bursa Malaysia and SGX-ST respectively. The public offering and the listing of the Company s shares on the Main Board of the SGX-ST was sponsored by CIMB Bank Berhad, Singapore Branch (the Issue Manager ). The Issue Manager assumes no responsibility for the contents of this announcement. Page 3 of 7

4 Photos from the Listing Ceremony From left to right: Mr Lawrence Wong, Executive Vice President and Head of Listings, Singapore Exchange, Ms Chew Gek Khim, Executive Chairman, STC, Mr Norman Ip, Chairman and Non-independent Non-executive Director, MSC, Dato Seri Dr Mohd Ajib Anuar, Group Chief Executive Officer and Executive Director, MSC Page 4 of 7

5 About MSC With a long operating history in tin mining and smelting, MSC is believed to be one of the world s leading integrated producers of refined tin metal. According to ITRI Ltd, the Group is the third largest supplier of tin metal globally in 2009, producing approximately 43,900 tonnes of refined tin metal. For the nine months ended September 30, 2010, the Group produced approximately 34,500 tonnes of refined tin metal. The Group s core expertise lies in its business of custom tin smelting in which tin concentrates are processed into refined tin metal at its smelting facilities. The Group operates two smelting facilities in Butterworth, Penang, Malaysia and Bangka Island, Indonesia. Its Malaysian smelting facility is believed to be the largest international custom tin smelter. The Group s smelting facilities produce MSC Straits and Koba branded refined tin which are registered and traded on the Kuala Lumpur Tin Market and the London Metal Exchange as well as marketed to end-users in the tin industry. MSC also undertakes tin mining activities in Indonesia and Malaysia. The Group is engaged in alluvial tin mining operations in Bangka Island and Riau Islands, Indonesia. Its Indonesian subsidiary holds the sole and exclusive rights under a Contract of Work with the Indonesian Government to mine for tin in its concession area of approximately 41,700 hectares until The Group is also engaged in open-pit mining of tin from its mine located in Klian Intan, Hulu Perak, Malaysia, and holds mining leases to mine for tin in a concession area of approximately hectares in Perak, Malaysia until Page 5 of 7

6 IMPORTANT NOTICE This press release and any accompanying materials (if any) ("Press Release") are made for informational purposes, without regard to the objectives, financial situation nor needs of any specific persons. This Press Release is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States unless they are registered or are exempt from registration under the U.S. Securities Act of 1933, as amended. MSC does not intend to register any portion of this offering in the United States or to conduct a public offering in the United States. Any public offering of securities to be made in the United States will be made by means of a prospectus that will contain detailed information about MSC and its management, as well as financial statements. Copies of this Press Release are not being, and should not be, distributed in or sent into the United States. It may be unlawful to distribute these materials in certain jurisdictions. These materials are not for distribution, directly or indirectly, in the United States. These materials are not an offer for sale of the securities of MSC in the United States. The information in these materials does not constitute an offer of securities for sale in these jurisdictions. Failure to observe the above limitation may constitute a violation of securities laws in the United States and in other jurisdictions. This Press Release does not constitute, or form any part of any offer for sale of or subscription of, or solicitation of any offer to buy or subscribe for, any securities nor shall it, or any part of it form the basis of, or be relied on in connection with, any contract or commitment whatsoever. A final prospectus had been lodged with and registered by the Monetary Authority of Singapore ("MAS") on 21 January 2011 in connection with the Offering ( Prospectus ). The information herein does not constitute or form any part of an offer, invitation or recommendation to subscribe for any securities in MSC. A copy of the Prospectus can be obtained from the website of the MAS. Page 6 of 7

7 MSC does not make any representation or warranty, express or implied, as to the accuracy of the information contained herein, and expressly disclaim any and all liability based, in whole or in part, on such information, errors therein or omissions therefrom. This Press Release includes forward-looking statements provided with respect to the anticipated future performance of MSC. Such forward-looking statements reflect various assumptions of the management concerning the future performance of MSC. Accordingly, there can be no assurance that such projections and forward-looking statements will be realised. The actual results may vary from the anticipated results and such variation may be material. No representations or warranties are made as to the accuracy or reasonableness of such assumptions or the forward-looking statements based thereon. ISSUED ON BEHALF OF : Malaysia Smelting Corporation Berhad BY : Citigate Dewe Rogerson, i.mage Pte Ltd 1 Raffles Place #26-02 One Raffles Place SINGAPORE CONTACT : Ms Chia Hui Kheng / Ms Holly Huang at telephone DURING OFFICE HOURS : (Office) AFTER OFFICE HOURS : / (Handphone) huikheng.chia@citigatedrimage.com / holly.huang@citigatedrimage.com 006/11/006/MSC January 27, 2011 Page 7 of 7