https://newsletter.mw.creamermedia.com
Copper|Energy|Iron Ore|Mining|Platinum|Products
Copper|Energy|Iron Ore|Mining|Platinum|Products
copper|energy|iron-ore|mining|platinum|products

Anglo snubs BHP’s ‘highly unattractive’ proposal

Anglo American chairperson Stuart Chambers

Anglo American chairperson Stuart Chambers

26th April 2024

By: Mariaan Webb

Creamer Media Senior Deputy Editor Online

     

Font size: - +

Diversified miner Anglo American has firmly rebuffed a $38.8-billion proposal from mining heavyweight BHP, with chairperson Stuart Chambers dismissing the nonbinding offer as “highly unattractive”.

In a statement released on Friday, Chambers labelled the BHP proposal as opportunistic and lacking in appreciation for Anglo’s prospects.

He further criticised the offer for significantly diluting the relative value upside participation of Anglo’s shareholders compared to BHP’s shareholders.

Moreover, the proposed structure of the deal was deemed unappealing, as Anglo believes it would bear nearly all execution risks associated with the proposal.

BHP on Thursday announced a nonbinding combination proposal entailing an all-share offer, with the requirement for Anglo to complete two separate demergers of Anglo American Platinum (Amplats) and Kumba Iron Ore to its shareholders.  The all-share offer and required demergers would be inter-conditional.

BHP offered Anglo shareholders £25.08 a share, including £4.86 a share for Amplats shares and £3.40 a share for Kumba Iron Ore shares.

Chambers pointed out that Anglo was well positioned to create value from its portfolio of assets that were aligned with the energy transition and other major demand trends.

"With copper representing 30% of Anglo American’s total production, and with the benefit of well-sequenced and value-accretive growth options in copper and other structurally attractive products, the board believes that Anglo American’s shareholders stand to benefit from what we expect to be significant value appreciation as the full impact of those trends materialises," he said.

Anglo shareholders are advised to take no action in relation to the possible offer.

Under the UK Takeover Code, BHP must by no later than 17:00 on May 22 either announce a firm intention to make an offer for Anglo or walk away.

 

Edited by Creamer Media Reporter

Comments

Showroom

Schauenburg SmartMine IoT
Schauenburg SmartMine IoT

SmartMine IoT has been developed with the mining industry in mind, to provides our customers with powerful business intelligence and data modelling...

VISIT SHOWROOM 
SABAT
SABAT

From batteries for boats and jet skis, to batteries for cars and quad bikes, SABAT Batteries has positioned itself as the lifestyle battery of...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 06 December 2024
Magazine round up | 06 December 2024
6th December 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.109 0.192s - 128pq - 2rq
Subscribe Now