Universal launches legal bid to stop TerraCom offer

Coal miner Universal Coal has launched proceedings in the High Court of Justice of England and Wales against an unsolicited bid by fellow-listed TerraCom.

The litigation has been started to allow Universal Coal’s bid committee to enforce sanctions set out in the company’s articles of association, suspending all voting rights attributable to the shares in which TerraCom has an interest, or directing TerraCom to divest of its interest in all Universal shares acquired under the unsolicited bid.