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(Sharecast News) - ACG Metals said on Thursday that it did not intend to make an offer for Anglo Asian Mining, drawing a line under its previously disclosed interest in the Azerbaijan-focused miner.
The company said the decision followed a detailed review of Anglo Asian's assets and reflected ACG's "highly disciplined approach to capital allocation".
Chief executive Artem Volynets said that discipline, alongside the group's focus on protecting shareholder value, "was a hallmark of ACG's management ethos."
ACG added that it "does not believe that an acquisition of Anglo Asian would result in value creation for ACG's stakeholders."
Anglo Asian acknowledged the announcement and said it "remains committed to creating value for its shareholders through continued production and development of its assets," highlighting two new mines brought online over the past year as well as its long-standing operations.
It added that as it advanced development of the Xarxar and Garadagh projects and positioned itself to become a mid-tier copper producer, "the markets have started to recognise the ability of our management team and board to continuously develop new opportunities from our extensive license portfolio."
The board said it was "confident that Anglo Asian will drive substantial value with our clear and achievable strategic plans to organically grow the business."
At 1547 GMT, shares in Anglo Asian Mining were down 2.17% at 225p.
Reporting by Josh White for Sharecast.com.
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