British multinational mining company Anglo American plc. announced on Friday it rejected an acquisition offer from BHP Group Ltd. worth $39 billion, saying the proposal undervalues it and is "highly unattractive" to its shareholders.
"The BHP proposal is opportunistic and fails to value Anglo American's prospects, while significantly diluting the relative value upside participation of Anglo American's shareholders relative to BHP's shareholders. The proposed structure is also highly unattractive, creating substantial uncertainty and execution risk borne almost entirely by Anglo American, its shareholders and its other stakeholders," Anglo American CEO Stuart Chambers noted in a filing to the London Stock Exchange.
