"Open Secret": BHP Mulling New Anglo Bid
October 22, 24.jpg)
(IDEX Online) - Speculation is mounting that BHP will make another bid for rival miner Anglo American, owner of De Beers.
It is "an open secret" according to a Financial Times report that the Australian multinational is considering another move on Anglo, after its increased bid of $49bn was rebuffed back in May.
Anglo has since seen its share price plunge by almost a quarter and has suffered a devastating fire at Grosvenor, its flagship coking coal mine.
In July it announced a net loss of $672m for the first half of this year, down from a net profit of $1.26bn in the same period last year.
Mike Henry, CEO of BHP, is reported to have met government officials in South Africa last week to discuss a possible acquisition.
The UK-based conglomerate says it will divest or demerge its diamond (De Beers), platinum, coking coal and nickel assets to focus its energies on copper and other more profitable commodities.
Takeover regulations in the UK impose a six-month waiting period (until November) on BHP before it can make another bid, a move designed to provide stability and prevent constant pressure on target companies.