Mechel reportedly eyes Raspadskaya Coal Co. acquisition

The Russian mining and steel producing company Mechel is reportedly in talks for the purchase of Raspadskaya Coal Company (Raspadskaya) but is only prepared to pay a third of the sum requested by Raspadskaya shareholders, RIA Novosti has reported citing unidentified sources.
 
Accordingly, Raspadskaya's shareholders value the company at $6 billion, while Mechel is ready to pay only $1.8-2.3 billion for the miner and this has hindered negotiations, the sources said.
 
Raspadskaya, Russia's largest producer of steelmaking coal in 2009, slid to fifth place last year after its output declined by 32 percent to 7.16 million mt, following the mine accident which occurred in May last year.