Sinosteel's bold play for Midwest is paying off
Sinosteel increases its ownership in the Australian iron ore company to 33.8%, as a fall in the local share market makes a competing takeover bid from Murchison less attractive.
ChinaÆs Sinosteel informed the Australian Securities Exchange ASX yesterday that it now owns 33.8% of Australian iron ore firm Midwest, up from 28.4% in its previous filing.
SinosteelÆs tactic to trump MurchisonÆs competing all-share reverse merger proposal of one Murchison share for 0.575 Midwest shares is proving a success. Murchison is an Australia-listed company with interests in iron ore mines and infrastructure.
On May 28 Sinosteel decided not to increase its A$6.38 $6.13 per share bid for Midwest any further,...
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