BHP, OZ Minerals agree to $9.6b merger

December 22, 2022 12:49 PM AEDT | By AAPNEWS

Google News:

Image source: AAPNEWS

Recent News

HD Renewable Energy's Star Trade Signs PPA with Lightsource bp for 115...

ASX 300 uranium stock Bannerman Energy drops on equity raise news

Chambers and Partners Research Yields Multiple Global Honors for J.S....

Fortescue and BHP Slump Deepens as ASX:XMJ Materials Sector Faces Glob...

BHP's $9.6 billion bid for OZ Minerals will progress to shareholders after two companies signed a scheme implementation deed.

The merger agreement follows BHP completing four weeks of due diligence and OZ Minerals' board rejecting a lower offer. It agreed to BHP's "best and final" offer of $28.25 per share, a 49.3 per cent premium to Oz Minerals' closing price back on August 5, before that initial approach.

"The combination of BHP and OZL's assets, skills and technical expertise provides a unique opportunity not available under separate ownership, with complementary resources including the Oak Dam exploration prospect and existing facilities within close proximity, backed by BHP's strong balance sheet, capital discipline and commitment to sustainable development," BHP chief executive Mike Henry said in a statement on Thursday.

Oak Dam is OZ Minerals' copper prospect 60 kilometres away from BHP's underperforming Olympic Dam mine in South Australia, which is also between OZ Minerals' Prominent Hill and Carrapateena copper mines.

OZ Minerals chief executive and managing director Andrew Cole said the board "believes that BHP's offer appropriately reflects the quality, growth profile and strategic nature of OZ Minerals' long-life copper and nickel assets".

BHP said that this was its best and final offer, in the absence of a competing proposal. It had initially offered $25 a share.

The companies expect that the scheme will be put to OZ Minerals shareholders in late March or early April and, if approved, could be implemented by mid to late April.

At 1.07 pm AEDT, BHP shares were up 0.6 per cent to $46.62 and OZL shares were up 0.2 per cent to $27.835.

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (“Kalkine Media, we or us”), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary.
The content published on Kalkine Media also includes feeds sourced from third-party providers. Kalkine does not assert any ownership rights over the content provided by these third-party sources. The inclusion of such feeds on the Website is for informational purposes only. Kalkine does not guarantee the accuracy, completeness, or reliability of the content obtained from third-party feeds. Furthermore, Kalkine Media shall not be held liable for any errors, omissions, or inaccuracies in the content obtained from third-party feeds, nor for any damages or losses arising from the use of such content.
Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyrighted to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have made reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.
This disclaimer is subject to change without notice. Users are advised to review this disclaimer periodically for any updates or modifications.