Australian iron ore miner Territory Resources recommended a A$132.6 million ($173.7 million) takeover offer from Noble Group (NOBG.SI), which trumped an earlier offer from African miner Exxaro (EXXJ.J).
Territory’s board said Nobel’s offer was better than Exxaro’s because it was 9% higher, unconditional and with faster payment terms, while Exxaro’s had a 60% minimum acceptance condition.
Hong Kong-based Noble already owns 30% of Territory.
Territory’s shares last traded at A$0.52, against Noble’s offer of A$0.50 a share and Exxaro’s offer of A$0.46 a share.
Territory said it would pay Exxaro a break fee of A$1.56 million for backing the rival bid.
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