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TELEMARKER on May 21, 2024 9:07am
stockwatch.com
Globe says First Quantum woes help push BHP's Anglo bid
2024-05-15 08:20 ET - In the News
The Globe and Mail reports in its Wednesday edition that the head of BHP Group says the world's biggest mining company will remain disciplined as it chases an acquisition of struggling competitor Anglo American PLC in a complex $43-billion (U.S.) takeover offer. The Globe's Niall McGee writes that speaking at a mining conference in Miami, BHP chief executive officer Mike Henry said that his company's twice-rejected proposal remains "quite compelling," and he signalled the Australian miner will not overpay in its efforts to win over Anglo's board. "We have a very, very hard-won reputation for discipline when it comes to capital allocation and we do not take that lightly," he said. London-based Anglo on has an alternative plan aimed at fending off BHP's advances by selling its metallurgical coal, diamonds and nickel businesses, and demerging its platinum segment. The company wants to streamline Anglo in order to zero in on its copper, iron ore and fertilizer businesses. Copper is in a bull market in part because of fears over potential supply problems, including the forced closing late last year of First Quantum's giant Cobre Panama mine after Panama's supreme court ruled its contract was unconstitutional.
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