PERTH (miningweekly.com) – The Foreign Investment Review Board (FIRB) has approved coal miner Stanmore Coal’s $380-million bid to acquire the remaining 20% in the BHP Mitsui Coal (BMC) assets, which have been renamed Stanmore SMC.
Stanmore earlier this year struck a $1.35-billion deal with diversified miner BHP and Mitsui & Co to acquire an initial 80% interest in the SMC asset.
The ASX-listed company on Friday told shareholders that it had received written correspondence from the FIRB that the Commonwealth had no objections to the acquisition.
The acquisition is now unconditional and is expected to complete within five business days.
Stanmore previously told shareholders that the acquisition of the remaining 20% interest in SMC would allow the company to achieve full synergies between the SMC operations and Stanmore’s other operations. From an accounting and tax perspective, it would allow SMC to join the Stanmore tax consolidated group and benefit from the associated efficiencies.
The transaction also directly aligns with Stanmore’s investment strategy to streamline and develop its existing operations and maximise the geographical synergies from its existing infrastructure.