MINING CORPORATIONS – GREAT BRITAIN

Anglo American rejects second, higher BHP takeover offer

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Original article by Peter Ker
The Australian Financial Review – Page: Online : 14-May-24

BHP CEO Mike Henry says it is disappointing that Anglo American’s board has rejected a revised takeover offer and has not been willing to enter into further discussions. The initial offer had comprised 0.7097 of its shares for every Anglo American share; however, BHP increased this to 0.8132 of its shares last week, valuing the target at $64.4bn. Henry adds that the two companies are a "strategic fit", and the combined group would have a leading portfolio of high-quality assets across a range of commodities.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC

BHP needs bid lift for Anglo deal

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Original article by Perry Williams
The Australian – Page: 17 : 1-May-24

Research house Bernstein says BHP’s takeover bid for Anglo American can secure the target’s support at the right price. BHP’s offer comprises 0.7097 of its shares for every share in Anglo American; this valued Anglo’s shares at Stg25.08 at the time the offer was made. Bernstein analysts suggest that BHP’s bid could succeed if its offer is increased to around Stg29 per share. Anglo American deemed BHP’s initial approach to be "opportunistic", and contended that it significantly undervalues the company’s assets. Anglo American has given BHP a deadline of 22 May to make a firm offer or walk away from the proposed deal.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC, BERNSTEIN RESEARCH

BHP hunts big game in Africa

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Original article by Peter Ker
The Australian Financial Review – Page: 13 & 17 : 30-Apr-24

BHP’s primary interest in making a takeover bid for Anglo American is the latter’s copper assets, which include the Quellaveco, Los Bronces and Collahuasi projects. The proposed $59.6bn deal would see BHP regain exposure to commodities that it has been seeking to exit for the last decade, such ad diamonds and manganese. BHP has also indicated that it has no desire to hold long-term ownership of Anglo American’s platinum and iron ore assets in South Africa. Nevetheless, BHP is expected to make a sweetened takeover offer for Anglo American. Rivals such as Glencore could also potentially make a bid now that Anglo American is in play.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC, GLENCORE PLC

BHP’s bold Anglo American bid

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Original article by Nick Evans
The Australian – Page: 13 & 16 : 26-Apr-24

BHP says that acquiring Anglo American would increase its exposure to ‘future facing commodities’, given that the latter has significant copper assets. Anglo American has advised that its board is considering the Stg31bn ($60bn) offer, which it has described as "unsolicited, nonbinding and highly conditional". BHP’s offer comprises 0.7097 of its shares for every Anglo American share. The bid values the target at Stg25.08 per share, although BHP is effectively proposing to pay Stg16.82 per share because the offer is conditional on Anglo American selling its stakes in Anglo Platinum and Kumba Iron Ore to its current shareholders. Anglo American has given BHP a deadline of 22 May to make a firm offer or walk away from the proposed deal.

CORPORATES
BHP GROUP LIMITED – ASX BHP, ANGLO AMERICAN PLC, ANGLO AMERICAN PLATINUM CORPORATION, KUMBA IRON ORE LIMITED

Anglo boss eyes healthy coal exit

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Original article by Nick Evans
The Australian – Page: 17 & 20 : 17-Feb-20

Anglo American will decide whether to sell its remaining coal mines by the end of 2020, says CEO Mark Cutifani. He notes that thermal coal now accounts for less than five per cent of group EBITDA, after selling a number of thermal coal mines in recent years. However, he adds that finding buyers for thermal coal mines has become more challenging, given that other mining companies are exiting the sector.

CORPORATES
ANGLO AMERICAN PLC, BHP GROUP LIMITED – ASX BHP, GLENCORE PLC

UK gold miner eyes dual listing

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Original article by Paul Garvey
The Australian – Page: 28 : 28-Nov-18

London-listed Greatland Gold has indicated that it is considering the option of a dual listing on the Australian sharemarket. The company’s shares rallied after it announced that a drilling program in Western Australia’s Paterson Range had intercepted high-grade gold and copper mineralisation. MD Gervaise Heddle says Australian investors have a greater appreciation of the local mining sector than their British counterparts, so it could make sense to make it easier for Australians to buy Greatland’s stock.

CORPORATES
GREATLAND GOLD PLC, RIO TINTO LIMITED – ASX RIO, NEWCREST MINING LIMITED – ASX NCM, MERRILL LYNCH (AUSTRALIA) PTY LTD, MACQUARIE GROUP LIMITED – ASX MQG, DDH1 DRILLING PTY LTD

Goldman turns bearish on BHP

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Original article by Matt Chambers
The Australian – Page: 19 : 26-Apr-17

The London-listed shares of BHP Billiton and Rio Tinto have fallen by around 16 per cent in the last two months. Goldman Sachs has reduced its share price targets for the UK stock of both companies. The firm now has a "sell" recommendation on BHP, citing factors such as the downturn in the price of iron ore and coking coal. Goldman Sachs also has sell ratings on Antofagasta and Kumba Resources.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, THE GOLDMAN SACHS GROUP INCORPORATED, ANTOFAGASTA PLC, KUMBA RESOURCES LIMITED, WESTPAC BANKING CORPORATION – ASX WBC

Rio chair’s confusion over pay

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Original article by James Chessell
The Australian Financial Review – Page: 13 & 16 : 8-Dec-16

Rio Tinto chairman Jan du Plessis has told a UK parliamentary committee of the growing complexity of the remuneration packages of British executives. He noted in particular the trend to measure executives’ performance by an increasing number of performance criteria. Du Plessis also conceded that he has trouble understanding some aspects of Rio Tinto’s remuneration policy, and said companies must do more to justify the high salaries paid to their executives.

CORPORATES
RIO TINTO LIMITED – ASX RIO, SABMILLER PLC, ANHEUSER-BUSCH INBEV SA/NV, HIGH PAY CENTRE, GREAT BRITAIN. OFFICE OF THE PRIME MINISTER

South32 eyes Anglo’s manganese

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Original article by Peter Ker
The Australian Financial Review – Page: 20 : 19-Feb-16

Australian-listed South32 has indicated that it would be interested in buying out its manganese joint venture partner, Anglo American. South32 holds a 60 per cent stake in the mining and smelting operation, and a spokesman says the group would be willing to assume full ownership at an appropriate price. Anglo American has signalled its intention to sell a significant number of assets, including coking coal mines in Queensland.

CORPORATES
SOUTH32 LIMITED – ASX S32, ANGLO AMERICAN PLC, UBS HOLDINGS PTY LTD, ROYAL BANK OF CANADA, BANK OF AMERICA CORPORATION

BHP should end its dual-listed era

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Original article by Matthew Stevens
The Australian Financial Review – Page: 30 : 27-Jan-16

BHP Billiton considered and ultimately rejected a proposal to abolish its dual listing when it was planning the South32 spin-off in 2015. The dual listing was previously reviewed in 2006. The future of the dual listing also came under scrutiny when Australian-listed BHP Billiton Limited had to transfer some of its profit to the London-listed BHP Billiton to enable the latter to pay a dividend in 2015. With a decision on the progressive dividend policy likely to be made in February 2016, it may then be the right time to reassess the dual listing.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, BHP BILLITON PLC, SOUTH32 LIMITED – ASX S32, RIO TINTO LIMITED – ASX RIO, LONDON STOCK EXCHANGE, ALLENS, ASCIANO LIMITED – ASX AIO, CHINA INVESTMENT CORPORATION, PORT OF DARWIN, PORT OF MELBOURNE, GLOBAL INFRASTRUCTURE MANAGEMENT LLC, LANDBRIDGE GROUP COMPANY LIMITED, PEOPLE’S LIBERATION ARMY OF CHINA