Mining
To strengthen its position in copper mining, Australian mining giant BHP wants to take over its rival Anglo American. But the latter now rejects the informal offer of $39 billion because it would be too low.
The world’s largest mining group, Australia’s BHP, has for the time being failed with its takeover bid for British/South African rival Anglo American. He thinks the offer of 38.8 billion dollars (more than 36 billion euros) is too low. The company, which is listed on the London stock exchange, announced this on Friday.
Anglo American believes the offer is inadequate and not attractive enough for shareholders. “The board of directors has reviewed the proposal with its advisors and has concluded that it significantly undervalues Anglo American and its future prospects,” the British group said in a press release. With the offer, BHP valued Anglo American about 14 percent higher than the company’s closing price on Wednesday evening, after which the price shot up sharply on Thursday.
It was announced on Thursday that BHP had made a bid for Anglo American. A takeover by BHP would create the largest global producer of copper, with 10 percent of global copper mining in its portfolio. Anglo American is regularly labeled as takeover target by analysts because it owns large copper mines in South America.
