News: UGL Spanish-controlled contractor CIMIC to bid $400 mln for Australia's UGL

SYDNEY, Oct 10 (Reuters) - Spanish-controlled engineering contractor CIMIC Group Ltd (CIM) said on Monday it will offer A$525 million ($400 million) for Australian rival UGL Ltd (UGL) , seizing on the target company's shareprice collapse amid a mining downturn.

Sydney-listed CIMIC, mostly owned by Spanish-owned German company Hochtief AG HOTG.DE , said it will offer A$3.15 per share for UGL, well above its recent trading level but a 55 percent discount to its A$7-plus levels in 2012 before miners began cutting spending to cope with lower commodity prices.

($1 = 1.3187 Australian dollars)