Nov 1, 2022
Turquoise Hill delays shareholder vote on Rio Tinto deal to take it private
The Canadian Press
Pentwater buys up more Turquoise Hill
Turquoise Hill Resources Ltd. has delayed a shareholder meeting to vote on Rio Tinto's deal to take the company private.
The company's board has unanimously recommended that the company's minority shareholders vote in favour of the deal, however it has faced opposition.
Turquoise Hill says it has postponed the shareholder meeting, which was to take place Tuesday, until Nov. 8 after a request from Rio Tinto.
The company announced a deal in September that would see Rio Tinto, which already owns a 51 per cent stake in the company, acquire the rest of the miner for $43 per share in cash.
Investment manager Pentwater Capital Management LP has said it believes the offer undervalues the company and does not support the plan, which requires approval by a two-thirds majority vote by shareholders, including Rio Tinto, and a simple majority of the votes cast by the company's minority shareholders.
Turquoise Hill owns a 66 per cent stake in the Oyu Tolgoi copper and gold mine in Mongolia. Erdenes Oyu Tolgoi LLC, a Mongolian state-owned entity, holds the remaining 34 per cent interest.