KUALA LUMPUR (Jan 7): Paragon Union Bhd (KL:PARAGON) has entered into a joint venture (JV) with Japan’s largest secondary aluminium producer, Asahi Seiren Co Ltd, to establish Paragon Asahi Seiren Sdn Bhd.

According to a bourse filing, the venture is formed between Paragon Union’s wholly-owned subsidiary, Paragon Metal Sdn Bhd, and Asahi Seiren. Paragon Metal will hold a 60% stake in the new entity, with the remaining 40% owned by Asahi Seiren.

Paragon Union’s JV with Asahi Seiren combines local expertise and global recycling technology to tap into the growing recycled aluminium market in Southeast Asia, supplying low-carbon materials to automotive, construction, and sustainable packaging industries.

Paragon Union chairman Andrew Koon, in a statement dated Jan 6, called the JV with Asahi Seiren a landmark deal, saying it brings advanced technology, boosts the value chain, supports ESG goals and contributes to Malaysia’s National Industrial Master Plan 2030 agenda.

Asahi Seiren CEO Yoshifumi Taniyama said Malaysia has great potential, and the company will share its 90 years of expertise to ensure the JV meets global standards in efficiency, sustainability, and environmental goals.

Paragon Union added that the partnership will expand its earnings base while reinforcing its credentials as a forward-looking, ESG-compliant corporation.

Shares in Paragon Union closed up one sen or 0.3% at RM3.46, valuing the company at RM349.86 million. The stock has gained 55.9% for the past year.