The world depends on vast skeins of copper wire in its faltering transition away from hydrocarbons. Oz Minerals of Australia is one. The Oz board batted away the price as opportunistic, refusing to even discuss the idea with its much larger suitor.
(Bloomberg) -- Gold has long dominated the Western Australian city of Kalgoorlie, born in a late 19th Century prospecting rush and home to one of the world’s largest-open pit mines, nestled right next to residential streets. Blasts to dislodge precious-metal laced rock from the more than two-mile long Super Pit still frequently rattle the main street.Most Read from BloombergFBI Raid Focused on Material Trump Brought From White HouseChina Seizes on Pelosi Visit to Set ‘New Normal’ for TaiwanSan F
BHP has seized on the slump in commodity prices to launch an A$8.4bn (US$5.8bn) cash offer for Australian rival Oz Minerals, as the world’s biggest miner seeks to boost its exposure to clean energy metals such as copper and nickel. The decision by Oz to reject the offer highlights the difficulties larger companies such as BHP may face if they try to take advantage of the decline in commodity prices to buy smaller rivals. Analysts at Morgan Stanley said that while BHP’s offer made sense, investors in Oz were “likely to weigh the offer against their expectations” of the long-term copper price.