Chinese groups asked to consider a takeover bid for Potash
The Chinese authorities have ordered several public companies to explore investment banks with different options to impede the bid for 30 billion euros of BHP Billiton Potash, it was learned from informed sources directly file.
Following these instructions, the chemicals group Sinochem has held meetings with several banks which include Citigroup, HSBC and Morgan Stanley, said the source.
One option being considered is an alliance between Sinochem and the sovereign wealth fund CIC, said a second source familiar with the matter.
The instructions given by Beijing, which demonstrates that the Chinese authorities take seriously the hypothesis of a takeover by BHP and Potash its possible implications on the price and supply of fertilizer, despite obstacles that would surely meet a cons-offer.
Sinochem has declined comment. CIC could not be reached immediately. The banks mentioned were refused comment.
The sources spoke on condition of anonymity because they are not authorized to speak publicly on the matter.