Singapore consortium secures $850m for South32’s Australian coking coal
South32 said in February it had agreed to sell the business in New South Wales state for $1.65 billion.
Finnish engineering group Metso said the planned merger of its main minerals technology business with smaller rival Outotec remains on track to be completed mid-year, as it has received fresh competition clearances from a number of countries, including the US, Australia, Russia, South Africa, and the Common Market for Eastern and Southern Africa (COMESA).
The new company, to be called Metso Outotec, will be one of the leading technology suppliers to mining and minerals processing companies, Metso said when announcing the deal last year. The merged entity is expected to have combined sales of 3.9 billion euros ($4.4 billion), based on 2018 figures.
The merger is forecast to enable cost savings of at least €100 million and in revenue synergies, stemming from cross-sales opportunities of at least €150 million euros a year.
Once the merger is completed, Metso shareholders will own about 78% of the shares and votes in Metso Outotec, with existing Outotec shareholders holding the balance.
