Luxembourg-based global steel giant ArcelorMittal and St. Louis, Missouri, US-based Peabody Energy, the world's largest private-sector coal company, announced on August 1 that they have launched a A$4.7 billion ($5.2 billion) bid together to acquire all the shares of Australia-based Macarthur Coal Ltd, the world's largest producer of low volatile pulverized coal injection for steelmaking.
ArcelorMittal, which is currently the second-largest shareholder of Macarthur with about 16 percent, and Peabody Energy bid A$15.50 ($17.14) per share plus a dividend of 16 cents a share. The preliminary proposal in June was rejected by the Australian firm for an increase to A$16.00 ($17.68).
Aditya Mittal, CFO and member of the group management board at ArcelorMittal, said, "We are making an attractive offer directly to shareholders, which represents a 41 percent premium to the closing price immediately before our approach was disclosed to the market."