Alpha Metallurgical Resources Inc. shares rose 4.73% and reached a 52-week high amid a significant investment from Crocodile Capital Partners GmbH.
Crocodile Capital disclosed that it acquired 205,119 shares of Alpha Metallurgical for approximately $40.99 million, representing a 24.51% stake in its portfolio. This strategic investment reflects confidence in the coal sector, particularly with rising energy demand, despite Alpha Metallurgical facing profitability challenges over the past three years. The stock has shown strong performance, increasing 23.2% over the past year, outperforming the S&P 500 by 4.39 percentage points.
This investment could enhance Alpha Metallurgical's visibility in the market and attract further investor interest, especially as the company navigates its profitability challenges.
Alpha Metallurgical Resources, Inc. is a mining company with operations across Virginia and West Virginia. The Company supplies metallurgical products to the steel industry. Its portfolio of mining operations consists of over 14 underground mines, six surface mines and eight coal preparation plants. It extracts, processes and markets metallurgical coal from deep and surface mines for sale to steel and coke producers, industrial customers, and electric utilities. It conducts mining operations only in the United States with mines in Central Appalachia. The Company operates in one segment: Met, which consists of six active mining complexes whose primary product is metallurgical coal that is extracted, processed, and marketed to domestic and international steel and coke producers. The Met segment operations consist of metallurgical coal mines, including Deep Mine 41, Road Fork 52, Black Eagle, and Lynn Branch.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
