BHP (ASX:BHP) rules out higher bid to acquire Noront

Company News

by Lauren Evans

Mining giant BHP (ASX:BHP) says it will not increase or extend its offer to acquire Noront Resources, and will therefore not match the bid by Wyloo Metals.

BHP refers to its $0.75 per share offer, and Wyloo Metals proposal to acquire Noront for $1.10 per share under the support agreement between Noront and BHP, and as a result BHP had the right to match or disregard Wyloos proposal.

“While the Eagle’s Nest deposit is a promising resource, we do not see adequate long-term value for BHP shareholders to support an increase in BHP’s offer in order to match the $1.10 per share proposal from Wyloo Metals Pty Ltd,” said BHP chief development officer Johan van Jaarsveld.

Shares in BHP (ASX:BHP) are trading 0.3 per cent lower at $41.59.

Are you a 708 sophisticated investor?

A sophisticated investor is defined under Section 708 of the Corporations Act (net assets of $2.5 million or annual incomes in excess of $250,000).

They are eligible to receive information regarding wholesale investment opportunities that are not available to regular or retail investors.

Please subscribe if you would like to be alerted to these types of opportunities.