Brazil Regulator Approves BHP’s $6.6bn Takeover Of OZ Minerals

Australian copper and gold producer OZ Minerals (OZL) has received the clearance from Brazilian competition regulator for its A$9.6bn ($6.61bn) buyout by mining giant BHP Group.

The approval for BHP Lonsdale’s takeover of OZ Minerals via a scheme of arrangement has been issued by the Administrative Council for Economic Defence.

Last December, OZ Minerals signed a scheme implementation deed (SID) with BHP to formally proceed with the proposed takeover process.

The SID, which follows the completion of a four-week exclusive due diligence period, confirms the terms of the scheme of arrangement. This follows a non-binding indicative proposal made by BHP last November.

The scheme, however, is still subject to other conditions, including approval by an Australian court and OZ Minerals’ shareholders, who are due to cast their vote in April 2023.

At that time, BHP CEO Mike Henry said: “The combination of BHP and OZL’s assets, skills and technical expertise provides a unique opportunity not available under separate ownership, with complementary resources, including the Oak Dam exploration prospect and existing facilities within close proximity, backed by BHP’s strong balance sheet, capital discipline and commitment to sustainable development.”