UPDATE: Rio Tinto Upgrades Riversdale Stake, Buying CSN's Holding

Rio Tinto PLC (RIO) has extended its control of Riversdale Mining Ltd. (RIV.AU) and with it access to a promising coking coal asset in southern Africa, buying shares from Brazilian steel producer Cia. Siderurgica Nacional (SID) to take its interest above 72%.

CSN and Tata Steel Ltd. (500470.BY) of India both increased their investments in Sydney-based Riversdale after Rio first made a takeover bid last December, frustrating any attempt to close the deal quickly and prompting Rio to raise the offer price and extend the deadline several times.

Rio said Wednesday that CSN had now accepted the offer, which values Riversdale at almost $4 billion, and would tender its entire 19.4% stake. The offer was due to close Wednesday, but has now been extended nine days to April 29.

Rapid industrialization in Asia, particularly China and India, has driven demand for undeveloped deposits of coking coal and other minerals essential in manufacturing steel. Riversdale has identified a 13 billion metric ton resource in an area of Mozambique attracting the attention of mining and steel companies on the promise it could rival Australia's coal-rich Bowen Basin in Queensland state.

Rio earlier this month secured enough acceptances for its cash offer of 16.50 Australian dollars ($17.50) a share to grab a stake greater than the 47% held between CSN and Tata.

H.M. Nerurkar, managing director of Tata, in a recent interview said the company hadn't yet begun talking to Rio about the future direction of Riversdale but it was willing to cooperate. Tata has a 27.1% holding in Riversdale and a seat on the coal company's board, as well as an agreement to buy 40% of the coal produced by Riversdale's Benga mine that is scheduled to begin production this year.

Rio is one of the leading suppliers of coking and thermal coal to the Asian seaborne market, with all but one of its mines in Australia. Mozambique is positioned to export coal direct to countries including China and India, once key infrastructure including rail links and a port are built.

Riversdale's Benga project in Tete province is the more advanced of two ongoing projects in Mozambique, and Rio has said it will accelerate its development as well as further exploration efforts. Rio has already named three directors to Riversdale's board.

-By Robb M. Stewart, Dow Jones Newswires; +61 3 9292 2094; robb.stewart@dowjones.com

Riversdale Mining (ASX:RIV)
과거 데이터 주식 차트
부터 5월(5) 2024 으로 6월(6) 2024