Almonty Industries: Wolfram Producer's Exit From Toronto Caps a Month of Forced Selling

Almonty shares fall 30% as TSX delisting triggers index fund selling, while Sangdong mine ramps up production and offtake deal expands.

The final session on the Toronto Stock Exchange did not go quietly for Almonty Industries. Shares in the tungsten producer slid 4.96 percent to C$15.51 on Friday, capping a week in which the stock shed 17.54 percent. Over the past month, the cumulative decline has reached 30.29 percent — a slide driven not by deteriorating fundamentals, but by the mechanical realities of index membership.

Almonty initiated its own voluntary delisting from the TSX, and FTSE Russell confirmed the stock would be removed from the FTSE Global Small Cap Index at Monday's open. The rule is straightforward: companies that voluntarily delist without regulatory impediments are automatically dropped. That leaves passive index funds and ETFs with no choice but to offload their positions, irrespective of the company's operating performance. With the RSI sitting at 32.7, the shares are now approaching oversold territory.

The Toronto exit follows a similar move in Australia, where the ASX listing will end on August 28, 2026. The Australian securities regulator has already approved the voluntary withdrawal, with the delisting itself taking effect on September 1. Shareholders Down Under have two options before the cutoff: sell their CDI holdings on the ASX or convert them into Nasdaq shares on a 1:1 basis. Those still holding after that point can use a voluntary selling facility running from September 8 through November 6.

Management has framed both departures in similar terms — trading volumes in Toronto and Sydney were too thin relative to the Nasdaq, and the administrative and compliance costs no longer justified maintaining multiple listings. Going forward, Almonty's primary venue will be the Nasdaq under the ticker ALM, supplemented by a secondary listing in Frankfurt.

The restructuring lands at a pivotal operational moment. On July 1, Almonty began processing ore into saleable tungsten concentrate at its Sangdong mine in South Korea, marking the transition from development to production. The timing carries strategic weight: the United States is planning an import ban on Chinese tungsten for defense procurement starting in 2027, which could elevate Sangdong's importance in Western supply chains.

The market's technical pressure stands in sharp contrast to the company's commercial progress. On July 14, Almonty extended its offtake agreement with Global Tungsten & Powders to 21 years — a six-year extension from the original 15-year term that dates back to 2018. Contracted volumes rise by 40 percent, and pricing improves by roughly 6.3 percent. Almonty expects the annual contract income to grow by at least US$30 million, with total revenue over the full 21-year term reaching US$490 million. At current market prices, the company projects the agreement alone could generate around US$490 million in annual sales. The deal covers approximately 90 percent of phase-one concentrate production from Sangdong.

There has been notable shareholder activity as well. Deutsche Rohstoff AG sold five million Almonty shares on July 23 at an average price of roughly US$16, generating a pre-tax gain of about EUR 65 million for the German company. It retains a stake of approximately 5.5 million shares.

The stock currently trades 53.49 percent below its April high of C$33.35, yet the longer-term picture tells a different story. Year-to-date, shares remain up 28.50 percent, and compared with the prior-year level, the gain stands at 205.92 percent. The technical damage is visible — the price sits 31.01 percent below its 50-day moving average of C$23.02, with a 14-day RSI of 33.5 signaling further proximity to oversold conditions. Annualized volatility of nearly 89 percent underscores just how jittery the market remains.

Context helps here: on July 31, 2025, the stock traded at C$4.96. The current correction, while steep, unfolds against a backdrop of extraordinary appreciation. Once the index adjustment completes on Monday and the ASX exit concludes at the end of August, investor attention is likely to shift back to the operational ramp-up at Sangdong as the mine works toward full phase-one capacity.