Ann: Ore Reserve Upgrade - UPDATED , page-19

And to compare. The follow up offer of $21.50 for PMM.

Cleveland Cliffs bids to buy Portman
From: AAP September 11, 2008 12:00AM


CLEVELAND Cliffs has launched a bid to buy the 14.81 per cent of Portman it doesn¿t already own, in a $560 million deal.

Cleveland Cliffs, the largest iron ore producer in the US, is offering $21.50 a share for the 14.81 per cent of shares in Portman (ASX: PMM) it doesn't already own.

“The offer provides a straightforward cash exit for Portman shareholders and accepting shareholders will not incur brokerage or stamp duty charges,” Cleveland Cliffs chairman Joseph Carrabba said in a statement.

Cleveland Cliffs launched its initial takeover of Portman, Australia's third largest iron ore producer, in 2005 and fell short of the 90 per cent threshold required to compulsorily acquire the company.

The US-group had offered $3.40 cash for each share before increasing the bid to $3.85, valuing Portman at about $675 million.


“Given that Cliffs already owns 85.19 per cent of the issued and outstanding Portman shares, I believe the likelihood of another bidder emerging is extremely remote,” Mr Carrabba said.

“In the event that our offer does not succeed, there is a risk that Portman's share price may fall significantly.”

Portman said that its independent directors would recommend the offer to shareholders, subject to the receipt of an opinion from independent expert KPMG.

The company is being advised by Azure Capital.

Portman shares last traded at $17.70.