Scottish engineer Weir Group has matched a rival’s takeover offer for an Australian mining-equipment firm in an intensifying bidding war for the company.
Weir has upped its bid for Ludowici to £243million, which it said was on the same terms as an offer made by Danish firm FLSmidth and Co (FLS) last week.
Weir said its latest offer – up from the £200million approach it had made previously – was conditional on Australia’s takeover panel blocking FLS’s latest offer.
The Scottish company said FLS had upped its earlier bid despite previously stating it would not increase its original £180million approach.
Weir said it would withdraw if the takeover panel approved FLS’s offer. The battle for Ludowici has escalated as both suitors have been attracted to the Brisbane-based firm’s work in Australia’s fast-growing coal and iron-ore mining sectors.
Weir chief executive Keith Cochrane said: “We have now undertaken due diligence which has reinforced the attractiveness of this opportunity for Weir Group.”
FLSmidth declined to comment on Weir’s latest move.
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