(EnergyAsia, May 7 2012, Monday) — Rebuffed in its attempt to acquire a Mongolian coal miner, Aluminum Corp of China Ltd (Chalco) expects to complete its proposed buy-out of a 29.9% stake in Hong Kong-listed Winsway Coking Coal Holdings Ltd for HK$2.39 billion. (US$1=HK$7.77).
Winsway shareholders are expected to accept Chalco’s offer to pay HK$2.12 a share as it represents a generous 22.5% premium over the last traded price when the bid was announced late last month.
Chalco, which will end up a Winsway’s single largest shareholder, has run into stiff opposition from the Mongolian government for its proposed buy-out of a majority stake in SouthGobi Resources Ltd.
Winsway, a leading supplier of coking coal into China, is also a major buyer of Mongolian coking coal.