Loading ...that this bit of news would also help us in the metals arena. But “thinking” has proven to be a dangerous game in the pm world…..
The world’s largest global diversified miner, BHP Group, is making a monster bet on surging future copper demand with the proposed takeover of Anglo American Plc. The bet is based on the thesis that the world’s power grids need a major overhaul and that the electrification of the economy will unleash new demand for base metals. This also comes as market observers have warned about an impending shortfall of global copper mining supply.
According to Bloomberg, BHP proposed an all-share deal valued at £31.1 billion ($38.9 billion). The transaction depends on Anglo spinning off its South African iron ore and platinum businesses to its shareholders. The offer is conditional and non-binding at £25.08 a share, or about a 14% premium to Anglo’s closing share price on Wednesday.