Tier 1” asset.20 Jan 2020 20:00
Anglo American buys Sirius Minerals at bargain price
Jan. 20, 2020 2:25 PM ET|About: Anglo American plc (AAUKF)|By: Carl Surran, SA News Editor
Anglo American (OTCQX:AAUKF, OTCPK:AAUKY) has agreed to buy fertilizer miner Sirius Minerals (OTCPK:SRUXF) for £405M in cash.
Sirius shareholders will receive 5.50 pence/share, a 34% premium to the closing price on Jan. 7, the day before Anglo said it was in talks to buy the company.
Sirius Chairman Russell Scrimshaw says the returns from the deal are not what investors had hoped for, but the company could face collapse if shareholders reject the deal.
Anglo believes Sirius' planned North Yorkshire polyhalite mining project is a "tier 1" asset.