ALCONIX to Seek Another Growth with IPO

ALCONIX Corporation went public at Jasdaq Securities Exchange today. Mr. Eiitsu Masaki, president of the firm said the future strategy for the firm with 25 years history since establishment of predecessor Nissho Iwai Non-Ferrous Metals Corp in 1981. The firm experienced 3 merger and acquisition matters including equity participation in rate metal trading firm, Advanced Material Japan Corporation, acquisition of goodwill for aluminium and copper products from Sanshin Rinkei, which is a distributor for Kobe Steel, and acquisition of nonferrous materials business from Sojitz Metals. Mr. Masaki said the firm tried to cultivate market focusing on electric materials, functional materials and recycling business. He said the firm tries to keep and expand the business though the market matured for light metal and copper products. He seeks another growth keeping relationship with Kobe Steel group, which represents 30% of purchasing for ALCONIX. Mr. Masaki said the firm expands recycling business at home and abroad. He said electric materials business has potential for growth and profitability. The firm has value chain from upstream to downstream for rare metal including titanium. He seeks higher profit by expanding business in the area, not by profit taking in market price. Mr. Masaki tries to seek annual 10% growth though he is still planning future growth. He tries to seek aggressive growth rather than stability. The firm tries to expand offshore network by using capital from initial public offering. The firm already has 5 offshore subsidiaries and 8 branches while the firm makes use of Sojitz’ offshore resources. Mr. Masaki said the offshore operation has potential for growth though the export and import trading already represents around 50% of the total sales. He is also considering raw materials operations and investment to makers in China.