Xstrata sounds out investor about €2.57bn coal takeover
TWO months after Mick Davis, the boss of Xstrata, called a halt to acquisitions, the miner has approached Macarthur Coal about a possible £2.25bn (€2.57bn) deal.
Mr Davis has bought 13 companies since floating Xstrata in 2002, but in February he said that the Anglo-Swiss group would concentrate on its own growth prospects.
However, it emerged yesterday that Xstrata approached large investors in Macarthur, an Australian coalminer, about a possible takeover.
Xstrata is said to have spoken to ArcelorMittal and Posco, the steel producers that together own 24.9pc of Macarthur. Xstrata declined to comment.
Xstrata is the world's largest exporter of thermal coal and its interest in Macarthur comes as prices for the commodity have soared by up to 50pc this year -- amid increased demand from steelmakers for coking coal and electricity generators for thermal coal.