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BHP Group Limited → OZ Minerals Limited

announced
Deal announced2022-11-18
BuyerBHP Group Limited
SellerOZ Minerals Limited
SectorMining
ValueA$9.6B
Deal typeM&A

BHP and OZ Minerals entered a scheme implementation deed for BHP to acquire 100% of the Adelaide-based copper and nickel miner for $28.25 cash per share, after BHP's initial $25.00 per share approach was rejected in August 2022. The deal completed in May 2023.

Why the buyer wanted it

BHP wanted to expand its copper and nickel exposure — commodities central to electrification and the energy transition — and saw OZ Minerals' South Australian copper assets as complementary to its existing Olympic Dam operations.

Why the seller agreed

OZ Minerals initially rejected BHP's $25.00 per share approach as "highly opportunistic" and undervaluing its copper and nickel assets, but its board unanimously recommended the improved $28.25 per share offer after a period of exclusive due diligence.

Stock reaction

OZ Minerals shares rose toward the offer price following the November 2022 announcement of the final agreed terms, after having risen on the initial unsolicited approach in August 2022 as well.

Deal mechanics

Deal structure

All-cash scheme of arrangement at $28.25 per share

Regulatory approval

OZ Minerals shareholder vote and Federal Court approval (obtained April 2023); FIRB approval

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