Merdeka Gold seeks up to HK$2.39 billion in Hong Kong IPO

Merdeka Gold Resources seeks up to HK$2.39 billion in a Hong Kong IPO, offering 89.7 million depositary receipts at as much as HK$26.60 each.

Glencore, Trafigura Group and Mercuria Energy Group are in discussions to act as cornerstone investors in the offering, people familiar with the matter said. Cornerstone investors typically receive guaranteed allocations in exchange for lock-up commitments, helping de-risk the deal for the issuer.

The Indonesian gold miner plans to list on the Hong Kong Stock Exchange's Main Board on June 26. The deal could raise as much as US$305 million at the top end of the indicative range, based on the exchange filing published June 17.

A successful listing would test investor appetite for gold-sector exposure in Hong Kong, where mining IPOs have been sparse in recent years. The pricing will be finalized ahead of the June 26 debut, with the final cornerstone investor lineup expected to be announced closer to the date.

The company did not disclose its proposed ticker, use of proceeds breakdown or lead underwriters in the filing. The offering is structured as Hong Kong Depositary Receipts, a listing vehicle that allows overseas companies to trade on the exchange without a primary share listing.

Glencore's potential participation would expand its exposure to gold alongside its core industrial metals and energy businesses, according to media reports. The discussions are ongoing and the size of any commitment could still change, the people said.

For investors, the deal offers exposure to Indonesian gold production at a time when bullion prices remain elevated. The first-day trading on June 26 will test whether institutional demand matches the reported cornerstone interest from some of the world's largest commodity trading houses.

This article is for informational purposes only and does not constitute investment advice.