Yancoal’s
(ASX:YAL) independent board committee (IBC) has rejected the $2.5 billion takeover offer from Yankuang Energy, the coal miner’s major shareholder.
The deal unveiled on the May 30 proposed to buy the remaining 37.7 per cent stake that Yankuang Energy doesn’t own at $5.04 a share (US$3.60), which is a 21 per cent discount to the last traded price of $6.08 a share the prior session.
Yankuang has a 62.3 per cent stake in the company while China Cinda Asset Management owns 15.9 per cent, Glencore has a 6.4 per cent stake, and China Shandong Investments Limited has a 5.4 per cent piece.
Yancoal owns and manages coal mines across New South Wales, Queensland and Western Australia. The company posted a 56 per cent rise in revenue to $5.4 billion in revenue for the year ending December 2021 and a net profit of $791 million.
The assessment of the deal was completed by Gilbert + Tobin in Australia, Freshfields Bruckhaus Deringer in Hong Kong, and Deloitte corporate finance as strategic and commercial adviser. As a result, the IBC unanimously concluded that the terms of the deal would not be in the best interests of the remaining shareholders.
Shares are trading 3.9 per cent higher to $5.64.
