Legal stoush looms for Universal and TerraCom

Suitor TerraCom on Monday said that it would defend itself against any proceedings brought on by coal miner Universal Coal, after the takeover target warned that it would start litigation to impose a sanction on TerraCom to limit its ultimate stake in Universal.

TerraCom last week officially launched its 33.5c a share offer for each of Universal share held, consisting of 10c in cash and 0.6026 new TerraCom shares.