By Ian Walker


Anglo American said BHP Group's latest 34 billion-pound ($42.59 billion) takeover offer significantly undervalues the company and its future prospects.

The London-listed miner said Monday that the structure of the all-share proposal is highly unattractive for shareholders given the uncertainty and complexity involved, as well as its execution risks, and advises shareholders not to take any action.

Anglo American said the board is confident in the company's prospects as a standalone business and has boosted plans to deliver on its strategy. A further update will be made on Tuesday, it said.

"The latest proposal from BHP again fails to recognize the value inherent in Anglo American. Anglo American shareholders are well positioned to benefit from increasing demand from future enabling products while the increasing capital intensity to bring greenfield supply online makes proven assets with world class resource endowments ever more attractive," Chairman Stuart Chambers said.

BHP has until May 22 to either make a formal offer for Anglo American or walk away under U.K. takeover rules.


Write to Ian Walker at ian.walker@wsj.com


(END) Dow Jones Newswires

05-13-24 1017ET