News from AAP

PEAMCoal extends the offer period for Macarthur Coal

Print This Post A A A

PEAMCoal has extended the acceptance date for its takeover offer for Macarthur Coal Ltd.

In a statement on Monday, the PEAMCoal joint venture between global steel giant ArcelorMittal and US coal major Peabody Energy said its off-market takeover offer would now close at 7pm (2000 AEST) on October 14, extended from September 27.

Macarthur in September backed PEAMCoal’s improved $16 a share offer.

That offer was an increase on PEAMCoal’s previous July offer of $15.50, which Macarthur rejected as being too low.

PEAMCoal on September 1 held a 16 per cent stake in Macarthur and is chasing an interest of at least 50.01 per cent.

At 1004 AEST on Monday, Macarthur shares opened eight cents lower at $15.92.

The company is the world’s largest producer of seaborne-exported low-volatile pulverised coal and aims to double production from 2009 levels to around 9.2 million tonnes a year by 2014.