Shares in coal miner Felix Resources (FLX) climbed 4% in value following the announcement that the Foreign Investment Review Board (FIRB) has approved Yanzhou’s bid to acquire the company.
FIRB on Friday cleared the way for Chinese coal producer Yanzhou to acquire Felix, on the condition that Yanzhou operate its Australian mines through a local company which is lead by Australian residents.
Felix said it would hold a shareholder meeting on December 8 to allow shareholders to vote on the acquisition proposal. The deal also requires the approval of Yanzhou shareholders.
Felix shares on the ASX jumped to $17.42 following the announcement.