BHP Weighs Boosting A$8.4 Billion Bid for OZ Minerals – by Thomas Biesheuvel, Dinesh Nair and Vinicy Chan (Bloomberg News – September 16, 2022)

(Bloomberg) — BHP Group Ltd. is considering raising its A$8.4 billion ($5.6 billion) offer for OZ Minerals Ltd., people familiar with the matter said, as the world’s top miner seeks to boost its exposure to metals needed for the green-energy transition.

Melbourne-based BHP may increase its A$25 per share bid for OZ Minerals as soon as this month, the people said, asking not to be identified as the matter is private. It wasn’t immediately clear by how much BHP would increase its offer, or whether OZ Minerals would agree to any renewed proposal from BHP.

A large acquisition would add to a series of sweeping changes at the world’s biggest miner since Chief Executive Officer Mike Henry took over in early 2020. The company revived its interest in major dealmaking, has exited oil and gas, and is pouring billions of dollars into a giant new potash mine in Canada.

OZ Minerals rejected BHP’s initial approach in August, saying it significantly undervalued the Adelaide-based company’s growth prospects in coveted commodities like copper and nickel. Shares in OZ Minerals closed at A$25.25 on Friday.

For the rest of this article: