CITIC Group eyes bigger stake in Macarthur -paper
HONG KONG, May 5 (Reuters) - China's state-owned CITIC Group is considering launching a bid to raise its stake in Australian coal miner Macarthur Coal (MCC.AX) in a deal estimated to be worth $830 million, a Hong Kong newspaper reported on Monday.
Macarthur's founder Ken Talbot holds 24 percent of the company while CITIC Group owns 19.9 percent.
BHP Billiton (BHP.AX), Rio Tinto (RIO.AX) and Brazil's Vale had considered bidding for the coal miner's stake held by Talbot and CITIC, the South China Morning Post quoted sources as saying. It said Swiss miner Xstrata (XTA.L) was in talks with Talbot and other shareholders.
The newspaper said Australian mining tycoon Nathan Tinkler, who owns about 10 percent of Macarthur, would follow Talbot in selling his stake in the coal miner. It gave no further details.
Australia's Macarthur Coal (MCC.AX) had said earlier on Monday that it was still in talks with an unnamed third party, but had received no formal proposal.
Macarthur said last month it had been approached by a potential buyer, sending its shares sharply higher. (Reporting by Donny Kwok; Editing by Anne Marie Roantree)
