Russian steelmaker Magnitogorsk Iron and Steel Works (MMK) has announced that it has terminated its A$554 million bid made in November 2011 for the Australia-based iron ore mining company Flinders Mines Limited. The deadline for the agreement to be finalized was June 30.
The company noted the continuing uncertainty over this transaction caused by the injunctive relief order by the arbitration court of Chelyabinsk, upon the complaint of the MMK shareholder Elena Egorova, who claimed that the Flinders takeover would create financial and operational risks for MMK.
Following the termination of the agreement, Flinders' shares declined by 7.4 percent.