Anglo’s predictable rejection won’t end BHP’s ambitions

The Australian Financial Review04-26

Officially, BHP has until May 22 to make a firm bid, which Anglo says remains a possibility. Unofficially, BHP and its advisers will now need to get a sense of how willing Anglo is to enter ...

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Unofficially, BHP and its advisers will now need to get a sense of how willing Anglo is to enter ...</p>\n\n<a href=\"https://www.afr.com/chanticleer/anglo-s-predictable-rejection-won-t-end-bhp-s-ambitions-20240426-p5fmx6\">Source Link</a>\n\n</div>\n","source":"afr_stock","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Anglo’s predictable rejection won’t end BHP’s ambitions</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nAnglo’s predictable rejection won’t end BHP’s ambitions\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-04-26 15:34 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.afr.com/chanticleer/anglo-s-predictable-rejection-won-t-end-bhp-s-ambitions-20240426-p5fmx6><strong>The Australian Financial Review</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Officially, BHP has until May 22 to make a firm bid, which Anglo says remains a possibility. Unofficially, BHP and its advisers will now need to get a sense of how willing Anglo is to enter ...</p>\n\n<a href=\"https://www.afr.com/chanticleer/anglo-s-predictable-rejection-won-t-end-bhp-s-ambitions-20240426-p5fmx6\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4168","symbol_name":"多种金属与采矿","start_time":0,"source_url":"https://www.afr.com/chanticleer/anglo-s-predictable-rejection-won-t-end-bhp-s-ambitions-20240426-p5fmx6","article_id":"2430924596","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2430924596","pubTimestamp":1714116840,"sourceInfo":{"source_id":"afr_stock","name":"The Australian Financial Review"},"weMediaInfo":null,"summary":"BHP is alive to this view, but relatively relaxed.Firstly, the copper market is nothing like iron ore, where a few very big players control the bulk of the market; the deal with Anglo would only give BHP a market share of about 10 per cent.Secondly, the world is short copper and long carbon, so regulators may be able to be convinced a deal like this might be the best way to get more of it into the market sooner, to ensure the energy transition doesn’t stall for a lack of raw materials.The complexity of the BHP offer, which would involve demergers of Anglo’s platinum business and its South African iron ore business onto the Johannesburg Stock Exchange, has been called out as a significant risk by Anglo. That’s understandable, and this is certainly not your average mining deal.But BHP is comfortable with the level of complexity the bid contemplates; it has demerged S","collect":0,"end_time":0,"defaultTopTitle":"afr.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4168":"多种金属与采矿","BK7511":"ESG概念","BHP":"必和必拓公司","BK7507":"资源股","BK7095":"多种金属与采矿","BHP.AU":"BHP GROUP LTD","BK4585":"ETF&股票定投概念","BK4588":"碎股"},"translate_title":"英美资源集团不出所料的拒绝不会终结必和必拓的雄心","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BHP":1,"BHP.AU":1},"content_text":"Officially, BHP has until May 22 to make a firm bid, which Anglo says remains a possibility. Unofficially, BHP and its advisers will now need to get a sense of how willing Anglo is to enter discussions and, potentially, open its books up to BHP to elicit the best possible bid.If Anglo won’t dance, BHP will likely walk, given Henry’s long-standing commitment to capital discipline.But Anglo has hardly slammed the door on its suitor, and after two years of frustration, nor will Anglo investors want it to. After all, there aren’t many miners with the financial firepower to do a deal like this – and pay the £30-odd a share Anglo investors will be looking for.It was also no surprise that Chambers put copper at the centre of his rejection statement on Friday night, noting the commodity accounts for 30 per cent of Anglo’s total production and several of its best growth prospects.While BHP likes Anglo’s coal assets (which are right next door to its own in Queensland) and its Brazilian iron ore mine, it’s copper that defines this deal – and BHP’s next few decades.As Henry has repeatedly stated, China’s steel demand has peaked and while iron ore will remain a fabulous business for a long time to come, BHP needs to pivot towards future-facing commodities such as copper, potash and nickel. With potash’s moment in the sun some years off, and nickel facing structural challenges thanks to a glut of Chinese-backed production, copper becomes BHP’s next big thing.AdvertisementThe mining giant is already brilliantly placed. It’s on track to become the world’s biggest copper miner this year and clearly has the world’s biggest copper reserves, and at good grades; even without Anglo, BHP will remain a copper force for decades.But the growth in copper demand from the energy transition and artificial intelligence boom has already pushed the copper market into deficit and prices up 25 per cent in two months. The more copper BHP can get into its portfolio now, the stronger its position will become.Could BHP become too powerful in the copper sector if it grabs Anglo, and so face regulatory opposition to the deal? BHP is alive to this view, but relatively relaxed.Firstly, the copper market is nothing like iron ore, where a few very big players control the bulk of the market; the deal with Anglo would only give BHP a market share of about 10 per cent.Secondly, the world is short copper and long carbon, so regulators may be able to be convinced a deal like this might be the best way to get more of it into the market sooner, to ensure the energy transition doesn’t stall for a lack of raw materials.The complexity of the BHP offer, which would involve demergers of Anglo’s platinum business and its South African iron ore business onto the Johannesburg Stock Exchange, has been called out as a significant risk by Anglo. That’s understandable, and this is certainly not your average mining deal.But BHP is comfortable with the level of complexity the bid contemplates; it has demerged South32 and its petroleum business in the past decade, and notes Anglo has done its own demerger, of its Thungela coal business, in 2021; these transactions are not foreign to either party, or their investors.","kind":null,"is_publish_news":null,"is_publish_highlight":null,"is_publish_live":null,"is_publish_wemedia":null,"editions":null,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.22.4","shortVersion":"4.22.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2430924596"}