The British multi-national mining company Anglo American has rejected the worlds largest mining house the BHP groups proposed acquisition offer.
The platinum groups shares lost over 1% following the rejection this morning.
The proposal came with conditions that comprised BHPs all-share offer for Anglo American which included a requirement for the company to de-merge from Anglo American Platinum and Kumba Iron Ore.
Anglo American believes that the proposal significantly undervalues it and its future prospects.
The board has also argued that the offer is highly unattractive to its shareholders.
Meanwhile, market analyst Patrick Mathidi says, "Between now and the 20th May, BHP has to respond and either improve the offer or the offer lapses. So its not done yet, we will have to see how this plays out. Also, remember that this transaction is subject to regulatory approvals."
VIDEO: BHP Groups proposed deal to buy Anglo American:
