This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.guardian.co.uk/business/2013/may/20/enrc-shares-details-takeover-attempt

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
ENRC shares slip as it reveals details of spurned takeover attempt ENRC shares slip as it reveals details of spurned takeover attempt
(4 months later)
Shares in Eurasian Natural Resources Corporation (ENRC) slipped sharply on Monday as the FTSE 100 miner outlined details of last week's spurned takeover bid by its oligarch founders and the Kazakhstan government.Shares in Eurasian Natural Resources Corporation (ENRC) slipped sharply on Monday as the FTSE 100 miner outlined details of last week's spurned takeover bid by its oligarch founders and the Kazakhstan government.
The company, which is under investigation by the Serious Fraud Office over allegations of "fraud, bribery and corruption relating to the activities of the company or its subsidiaries in Kazakhstan and Africa", was pushed into a further disclosure after details of the proposal leaked into the market on Friday night.The company, which is under investigation by the Serious Fraud Office over allegations of "fraud, bribery and corruption relating to the activities of the company or its subsidiaries in Kazakhstan and Africa", was pushed into a further disclosure after details of the proposal leaked into the market on Friday night.
It said the offer – pitched by the trio of founding shareholders of Alexander Machkevitch, Alijan Ibragimov and Patokh Chodiev, alongside the Kazakh government – consisted of 175p-a-share of cash plus 0.231 shares in fellow miner Kazakhmys for every existing share in ENRC. ENRC added that the proposal "materially undervalues ENRC".It said the offer – pitched by the trio of founding shareholders of Alexander Machkevitch, Alijan Ibragimov and Patokh Chodiev, alongside the Kazakh government – consisted of 175p-a-share of cash plus 0.231 shares in fellow miner Kazakhmys for every existing share in ENRC. ENRC added that the proposal "materially undervalues ENRC".
The shares in Kazakhmys being used as part of the deal are owned by the Kazakh state and their inclusion throws up two quirks: firstly, Kazakhmys owns 26% of ENRC so is being offered shares in itself; and secondly the offer prompted an intervention from the Takeover Panel on Monday, as it ruled that Kazakhmys is now part of the bidding party even though it is not bidding itself. That will mean that significant investors in Kazakhmys will now have to disclose when they trade the shares.The shares in Kazakhmys being used as part of the deal are owned by the Kazakh state and their inclusion throws up two quirks: firstly, Kazakhmys owns 26% of ENRC so is being offered shares in itself; and secondly the offer prompted an intervention from the Takeover Panel on Monday, as it ruled that Kazakhmys is now part of the bidding party even though it is not bidding itself. That will mean that significant investors in Kazakhmys will now have to disclose when they trade the shares.
ENRC said the constituent parts of the offer equated to a total price of 260p per ENRC share. The company's shares lost 2.76% on Monday to close at 264.1p.ENRC said the constituent parts of the offer equated to a total price of 260p per ENRC share. The company's shares lost 2.76% on Monday to close at 264.1p.
Our editors' picks for the day's top news and commentary delivered to your inbox each morning.