- Coronado announced on Wednesday that it was in talks about a potential merger with Peabody.
- Peabody is an NYSE-listed energy company.
- Coronado’s shares were trading 8.5% higher on ASX at 12:57 PM AEDT.
Shares of Coronado Global Resources Inc.(ASX:CRN) rocketed over 8% on Wednesday following a confirmation by the company that it was in talks about a potential merger with the NYSE-listed coal giant Peabody Energy Corporation.
Shares of the Australian mining company were trading 8.5% higher on ASX at AU$2.100 apiece at 12:57 PM AEDT today (12 October 2022). While Coronado’s share price has gained over 32% in the last 12 months, the shares have jumped nearly 63% on a year-to-date basis.
What is boosting Coronado’s share price higher today?
As already mentioned, Coronado announced earlier on Wednesday that it was involved in a ‘confidential’ discussion with Peabody regarding a potential combination transaction. However, the two companies have not agreed to any deal, as of now.
Coronado also said that there was no assurance if these two companies would end up signing any deal or transaction in future. The ASX-listed company said that it was currently not able to share any further details on the matter.
Coronado is listed under the ASX Materials sector. The company is primarily involved in the exploration and development of coal. The company mainly operates in two major regions, the Bowen Basin in Queensland, and the Central Appalachian in the US. The high-quality metallurgical coal developed by Coronado is used in manufacturing steel and other steel-based products.
Peabody Energy Corporation is a coal mining company listed on NYSE. The company is also the provider of essential items that are needed for the manufacturing of affordable and reliable energy and steel.