Rio Tinto PLC (RIO) will increase its offer for coking coal miner Riversdale Mining Ltd. (RIV.AU) to A$16.50 from A$16.00 a share, the target said Thursday, amidst lackluster takeup of the proposal from shareholders.

Riversdale said the increased offer would be conditional on Rio Tinto obtaining interest from more than 50% of the company's shareholders by March 23, and that it wouldn't increase its offer beyond that point unless there was a competing proposal.

Rio Tinto's US$3.9 billion offer for the Mozambique-focused miner has seen sluggish takeup from shareholders and aggressive stake-building by major shareholders.

Tata Steel Ltd. (500470.BY) and Companhia Siderurgica Nacional (SID) have raised their stakes to a combined 47% since the offer was announced Dec. 24, and as of March 4 only 19.14% of Riversdale's shareholders had assented to the offer by either selling or offering their shares to Rio Tinto or pledging them to an institutional acceptance facility.

-By David Fickling, Dow Jones Newswires; +61 2 8272 4689; david.fickling@dowjones.com
Riversdale Mining (ASX:RIV)
Historical Stock Chart
Von Jun 2024 bis Jul 2024 Click Here for more Riversdale Mining Charts.
Riversdale Mining (ASX:RIV)
Historical Stock Chart
Von Jul 2023 bis Jul 2024 Click Here for more Riversdale Mining Charts.