BHP Withdraws Acquisition Bid for Anglo American
Mining giant BHP has confirmed that it will not proceed with a firm offer to acquire Anglo American, following the rejection of its £39 billion takeover proposal.
Last month, BHP made an unsolicited, non-binding all-share buyout offer to Anglo American. The proposal included plans for separate demergers, requiring Anglo American to distribute its interests in South Africa’s Anglo American Platinum and Kumba Iron Ore to shareholders. Despite later sweetening its bid, BHP’s offer was again declined by the Anglo American board.
BHP argued that its offer would provide immediate value to Anglo American shareholders, allowing them to benefit from the long-term value created by consolidating the mining giants. However, Anglo American’s board declined the offer, citing its complex structure and execution risks.
