Freeport-McMoRan pays 33% premium to acquire Phelps Dodge

Section:

From Reuters
Sunday, November 19, 2006

http://yahoo.reuters.com/news/articlehybrid.aspx?storyID=urn:newsml:reut...

NEW YORK -- Freeport-McMoRan Copper & Gold Inc. said on Sunday it agreed to acquire Phelps Dodge Corp. for $25.9 billion in cash and stock, creating the world's largest publicly traded copper company.

Freeport-McMoRan said it will pay a total of $126.46 per Phelps Dodge share.

Each Phelps Dodge shareholder would receive $88 per share in cash plus 0.67 of a common share of Freeport-McMoRan.

Freeport-McMoRan said this represents a premium of 33 percent to Phelps Dodge's closing price on November 17 and a premium of 29 percent to its one-month average price at that date.

On Friday, Nov. 17, Phelps Dodge shares closed at $95.02, while Freeport-McMoRan's stock closed at $57.40, both on the New York Stock Exchange.

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Joint press release from Freeport-McMoRan and Phelps Dodge:

http://biz.yahoo.com/bw/061119/20061119005066.html?.v=1

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