18 Mar 2016

Wellington company lines up Aussie mine buy

12:19 pm on 18 March 2016

Privately held Wellington-based Todd Corporation has made a takeover offer for small-scale Australian iron ore miner Flinders Mines.

Todd Minerals, a subsidiary of Todd Corporation, was offering 1.3 Australian cents a share, which values the deal at $AUD38 million ($NZ43 million).

Last year, Flinders shareholders rejected a Todd offer to buy its key Pilbara iron ore project, a proposed $AUD800 million, 25-million-tonne port, rail and mine project in north western Australia.

Todd said the offer gave Flinders a chance to avoid future risks and costs involved with the Pilbara Iron Ore Project.

Todd already owned 18.4 percent of Flinders and already had interests in rail and port businesses in the Pilbara region.