Quick Take: Australian Miner Outbids Chinese Group for Sydney-Based Energy Firm

Miner Mineral Resources Ltd. has offered to acquire fellow Australian firm AWE Ltd. for A$0.8 (60 U.S. cents) per share, beating a raised bid for the energy company from the government-backed China Energy Reserve and Chemicals Group (CERCG).

AWE said in a Monday filing that the proposal came after the stock market closed on Friday, the same day CERCG raised its offer to A$0.73 per share from A$0.71.

AWE said it will evaluate both proposals and “provide shareholders with a recommendation in due course.”

It also told shareholders to take no action during its evaluation.

Shares of the Australia-listed AWE surged above both bids on Monday to A$0.82.

AWE seemed to have little interest in CERCG’s initial offer of A$0.71, which was submitted in late November. The Australian gas provider said then that the board’s reaction was that the proposal was that it was “not sufficiently attractive to provide access to due diligence.”

CERCG is a gas producer and logistics service provider that also has assets in the U.S., Canada and Mongolia.

Contact reporter Coco Feng (renkefeng@caixin.com)