Macarthur rejects revised offer

Macarthur Coal has rejected Peabody Energy’s lowered offer.

Macarthur Coal has rejected Peabody Energy’s revised offer as not acceptable.

Following the lowering of Peabody’s offer for the coal miner from $16 per share down to $15, a drop of $260 million in valuation for Macarthur, the Australian coal miner’s board stated “that based on the price and the conditions of the proposal, that (the offer) cannot reasonably be recommended to shareholders.”

Macarthur went on to state that there is no basis for further talks with Peabody after its revised bid.

Peabody cited the proposed Resources Super Profit Tax coupled with the due diligence process as the impetus behind lowering the bid.

To keep up to date with Australian Mining, subscribe to our free email newsletters delivered straight to your inbox. Click here.