KAZ investor pushes board to scrap $2.4bn buyout
One of KAZ Minerals’ top investors is pushing its board to scrap a proposed £1.8-billion buyout from the Kazakh copper miner’s chairman.
The deal process should be terminated, as it’s “inconceivable” that minority investors will accept the offer of 640p per share, RWC Partners wrote in a letter to KAZ directors seen by Bloomberg News. Copper has risen 17% since KAZ agreed to the proposal in late October, and the London-listed company’s shares are now trading at 716.60p.
“We think the bid will fail as it materially undervalues the company,” James Johnstone, co-head of emerging and frontier markets at RWC, said by phone Wednesday.