Anglo American has rejected a £31.1bn takeover proposed by rival miner BHP, branding it “highly unattractive” and “opportunistic”.
BHP confirmed on Thursday that it had approached Anglo American about a deal which would create the world’s largest copper producer.
But Anglo American has rebuffed the approach, in particular the plan to significantly restructure its business.
BHP wants to buy Anglo American for its copper operations.
Copper is used to conduct electricity and demand is growing as some economies shift to renewable energy and electric vehicles.
Anglo American owns two copper mines, in Chile and Peru where BHP also has some operations.
A deal would bring together two of the industry’s biggest mining companies and could face significant competition hurdles if it went ahead.
Copper prices rose above $10,000 per tonne for the first time in two years after news of the proposal emerged.
BHP has proposed spinning off Anglo’s platinum and South African iron ore divisions. But Anglo said that under BHP’s plan its business would bear the brunt of any major changes that may needed to get regulatory approval.
Anglo American’s share price edged down on Friday to £25.47, just above the price per share BHP is offering for its smaller rival.