Anglo rejects new £34bn BHP takeover offer

BHP says Anglo American has rejected an improved £34bn takeover offer. The mining group said that it sent a revised proposal on 7 May, which Anglo rejected yesterday. BusinessTech reports that the Australian miner said it was disappointed that the British company had decided not to engage with it. ‘BHP put forward a revised proposal to the Anglo American Board that we strongly believe would be a win-win for BHP and Anglo American shareholders. We are disappointed that this second proposal has been rejected,’ said BHP CEO Mike Henry. The new proposal would still have to split off Anglo American Platinum and Kumba Iron Ore businesses in SA. The move has received widespread reaction across markets and government officials, with many stating that SA is no longer an investment destination. Minister of Energy & Mineral Resources Gwede Mantashe said that he would have voted against BHP’s offer. However, BHP said that the move not to include the SA assets was not due to an indictment of SA but rather its portfolio and commodity needs. ‘SA will continue to benefit from Anglo Platinum and Kumba as major standalone SA mining companies and they would be better placed to reinvest in SA,’ said BHP.