Severstal makes revised offer for Celtic

The Russian steel producer Severstal has announced that its raw material subsidiary Severstal Resurs has made a revised offer to acquire all shares in Ireland-registered mining company Celtic Resources Holdings PLC (Celtic).
 
The new takeover proposal offers to buy all remaining shares in Celtic - those not yet owned by Severstal - for a price of £2.7 ($5.5) per share (an increase of £0.5 per share from Severstal's first offer rejected by Celtic on September 25), or a total of £161 million ($329 million).
 
However, the Celtic BoD has advised its shareholders to reject Severstal's revised offer, believing that the per-share price is undervalued.
 
Severstal acquired a 22 percent stake in Celtic in early August and upped it to 29.7 percent in September.