BHP seeks more time for US$49bil takeover talks with Anglo American

NEW YORK: The world’s largest miner, BHP Group Ltd, is seeking more time for takeover talks with smaller rival Anglo American Plc.

“BHP believes a further extension of the deadline is required to allow for further engagement on its proposal,” it said in a statement yesterday.

“This announcement does not amount to a firm intention to make an offer and there can be no certainty that an offer will be made. There is no certainty that any form of agreement or transaction will be reached or concluded.”

BHP’s third all-share proposal valuing Anglo at roughly £38.6bil (US$49bil) was rebuffed by the target last Wednesday, but opened talks between the two companies’ boards, extending the deadline for a firm bid to May 29. If the two sides cannot reach an agreement and BHP walks away, it will have to stay away for six months.

The company said in the statement that it “believes that the proposed measures it has put forward provide substantial risk protection for Anglo American shareholders.” — Bloomberg