SEOUL, Oct. 18 (Korea Bizwire) — POSCO International Corp. on Monday said it is in talks to take over Australian coal seam gas producer Senex Energy Ltd.
Earlier in the day, Reuters reported the Australia company received a US$605 million takeover proposal from the South Korean company, the trading arm of the country’s top steelmaker, POSCO.
“We have been given an exclusive right to the takeover negotiation, which is valid until Nov. 5,” the company said in a regulatory filing. “We are assessing a possible deal, and there is nothing concrete yet.”
According to the report, POSCO International offered A$4.4 per share, a 15 percent premium over Senex’s share close Friday, and about 38 percent over its close on Sept. 1.
The Australian producer of natural gas said in a statement its board “believes it is in the best interests of its shareholders to continue to engage with POSCO International and will assess any proposal received on its merits.