Jan 5 (Reuters) - Australia's BlueScope Steel said on Monday it received an indicative takeover offer in December from a consortium comprising SGH and U.S.-based Steel Dynamics, valuing the steelmaker at A$13.15 billion ($8.78 billion).
Sydney-listed industrial conglomerate SGH Ltd and Nasdaq-listed Steel Dynamics made an A$30-a-share cash offer on December 12, implying a premium of 26.8% to BlueScope's close on December 11, and a 22.7% premium to its close on Monday.
The takeover offer would see Australian
billionaire Kerry Stokes-owned SGH acquire all of BlueScope's shares and then offload its North American businesses to Steel Dynamics.
BlueScope's board is considering and evaluating the latest takeover proposal, the steelmaker said in an exchange filing late on Monday.
SGH and Steel Dynamics did not immediately respond to Reuters requests for comment.
AustralianSuper, the country's largest pension fund and BlueScope's biggest shareholder with a 12.51% stake, also did not respond outside business hours.
BlueScope also revealed it had rebuffed three separate unsolicited takeover approaches, including two from a different Steel Dynamics-led consortium in late 2024 that had offered A$27.50 and then A$29.00 per share in late 2024.
Both proposals would have resulted in Steel Dynamics owning BlueScope's North American businesses.
A third Steel Dynamics proposal in early 2025 would have acquired all of BlueScope, retained its North American operations, and distributed the remaining assets to BlueScope shareholders. It valued the North America operations at A$24 a piece and other assets at no less than A$9 a share.
"These approaches were rejected as they significantly undervalued BlueScope and its future prospects, and presented significant execution risk in relation to regulatory outcomes," it said.
($1 = 1.4981 Australian dollars)
(Reporting by Sameer Manekar in Bengaluru; Editing by Maju Samuel and Devika Syamnath)
