Yanzhou Signs $2.7B Deal For Australian Coal Co.

Law360, New York (December 23, 2011, 5:16 PM EST) -- Major Chinese coal provider Yanzhou Coal Mining Co. Ltd. will shell out $2.7 billion to merge its Australian mining arm with Australia's own Gloucester Coal Ltd., according to the terms of the deal announced Friday.

The Chinese company will pay Gloucester shareholders $3.20 per share, according to the merger agreement. Yanzhou's Australian arm, Yancoal Australia Ltd., will also absorb about $700 million of Gloucester's outstanding debt, the Australian company said.

The cash deal will give Yanzhou a 77 percent stake in the merged company, with Glouceseter...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.