BHP said it submitted to Oz Minerals’ board of directors on Friday a non-binding suggestive proposal to acquire a 100% stake through a scheme of arrangement.
BHP CEO Mike Henry said BHP was disappointed by the proposal’s rejection. This represented a 32.1% premium for him to Friday’s closing price and a 41.4% premium to Oz Minerals’ 30-day weighted average of $17.67 per share.
“I am pleased that the Board of Oz Minerals has indicated its unwillingness to accept our compelling offer or to provide access to due diligence related to our proposal. We are disappointed,” Henry said.
“Our proposal represents attractive value and certainty for Oz Minerals shareholders in the face of a deteriorating external environment and increasing operational and growth-related financing challenges for Oz Minerals. increase.”
Oz Minerals, which operates two copper and gold mines in South Australia, said last month that coronavirus-related labor shortages, supply chain disruptions and maintenance issues had led to a drop in copper output and a significant drop in production targets. Reported reduced.
Oz Minerals’ South Australian mines sit on either side of BHP’s massive Olympic Dam copper hub, which BHP believes offers significant synergies. Oz Minerals is also developing nickel in Western Australia and is nearing a $1 billion investment decision.
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Oz Minerals (OZL) turned down BHP’s $8.4b takeover offer
Source link Oz Minerals (OZL) turned down BHP’s $8.4b takeover offer