Noble sweetens offer to Gloucester Coal shareholders

Hong Kong-headquartered commodities trading company Noble Group yesterday increased its all-cash offer for Gloucester Coal by 24% to an equity value of A$490 million $368 million, only days after regulators in Australia ruled that Gloucester's directors are the deciding authority for Noble's bid.

Noble is now offering A$6 per share for the 78.3% of Gloucester it does not own, up from an offer of A$4.85 it tabled on February 27. For shareholders who tender, the A$6 will yield them a premium of 91% to the closing price of Gloucester's shares on February 19, the last trading day prior to the announcement of the Whitehaven Coal merger, which Noble is trying to stop. The...