Alpha Natural Agrees to Buy Massey Energy for $7.1 Billion in Cash, Stock |
| Bloomberg - Jan 30, 2011 |
Alpha Natural Resources Inc., the third-biggest U.S. coal producer, agreed to buy Massey Energy Co. for about $7.1 billion in cash and stock, gaining the largest coal company in the U.S. Central Appalachian region.
Massey shareholders will receive 1.025 Alpha Natural shares plus $10 cash for each share held, the companies said in a statement yesterday. The bid values Massey at $69.33 a share, 21 percent more than Massey’s price at the close of trading Jan. 28. Massey has $1.63 billion in debt, according to Bloomberg data.
The combination will give the new company more than 110 mines and coal reserves of about 5 billion tons, and creates the world’s third-largest metallurgical coal producer behind BHP Billiton-Mitsubishi Alliance, known as BMA, and Teck Resources Ltd. It will be the second-largest U.S. coal company by sales, with almost 14,000 employees.
Read Full Article from Bloomberg
- Posted: 2011-01-30 21:28:30
| More Stock Investor Place Company News |
 |
|
|
|
| Stock Investor Place Company News Archive |
|
|
|
