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The board was reported to be considering a bid made from a foreign company after receiving two other bids, according to the Australian Financial Review this morning.
Korea’s Posco and other Japanese steelmakers have reportedly approached Whitehaven for minority stakes and to guarantee some metallurgical coal supply, but other bidders for Whitehaven also reportedly included China Shenhua Energy and Coal India.
Xstrata and Peabody Energy have also been looking for opportunities to expand their presence in Australia’s coal scene.
Both of these major coal players failed to secure early stakes in Aston Resources, which is getting ready for a $A400 million initial public offering according to a source close to the deal who spoke to ILN.
Whitehaven did not shed much light on the possible takeover interest this morning.
“Whitehaven notes media speculation in relation to potential corporate activity involving the company,” the company said.
“Whitehaven has had, and continues to have, discussions with third parties in relation to potential corporate transactions.
“Those discussions that are continuing are preliminary and remain incomplete, and it is highly uncertain whether they will lead to a proposal for consideration by the company's directors and shareholders.”
With Centennial Coal under a takeover by Thai energy giant Banpu, Whitehaven is one of the few independent Australian coal producers.
In April when New Hope, Peabody and commodities trader Noble Group were battling to get the attention of Macarthur Coal’s board, Mine Life senior resources analyst Gavin Wendt especially picked Whitehaven as a takeover target, as the company also has exposure to metallurgical coal.
He summarised the situation for the Aussie coal producers.
“You had Excel Coal disappear, you had Felix Resources disappear, I think we had Gloucester disappear because Noble is an 88 per cent shareholder,” he said.
“The remaining players were going to be subject to takeover bids so it’s no surprise.
“All these [independent Australian coal] companies are going to be picked off – it’s just a matter of time.”
Whitehaven shares were up 37c this morning to $6.10.
