Anglo American has rejected an improved takeover offer from rival miner BHP valued at around $42.7 billion.
It says even the new number significantly undervalues the business. An earlier offer of $39 billion was rejected last month, with Anglo calling it opportunistic.
The bid came after the company saw annual profits almost wiped out and was forced to do write-downs on the value of some operations.
BHP – the world’s largest miner – said it was disappointed by the new rejection. It argues a combination of the two businesses would deliver significant value for shareholders.
Anglo is attractive to competitors for its prized copper assets in Chile and Peru.
Consumption of the metal is expected to boom on demand for AI and clean energy products. The firm also has a portfolio of mines digging up everything from platinum to iron ore.
It is also the majority owner of the De Beers diamond company.
Analysts say the firm has been trying to restructure for a long time, without really hitting any of its targets.
One told Reuters it was hard to see a better suitor than BHP coming along.
BHP’s proposed buyout of Anglo American:
