Anglo American (NGLOY) rejected BHP Group’s (BHP) latest takeover offer, saying it “includes the same highly complex structure as the proposals previously rejected on 26 April 2024 and 13 May 2024.” Anglo American said its advisers have engaged with BHP and its advisers on multiple occasions with a focus on the proposed structure and associated risks. The board “continues to believe that there are serious concerns with the structure given that it is likely to result in material completion risk and value impact that disproportionately falls on Anglo American’s shareholders.” The requirement to pursue two contemporaneous demergers of publicly listed companies alongside a takeover and the inter-conditional nature of the three transactions “is unprecedented, and as a result of a takeover would result in additional material approvals and conditions, particularly in South Africa.” Anglo American has consented to an extension to the date by which BHP is required either to announce a firm intention to make an offer for Anglo American or to announce that it does not intend to make an offer. Such announcement must now be made by not later than May 29.
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