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Thursday, January 6, 2011

DEALTALK-Nunavut may need to up ante to steal Baffinland, (TSE: BIM), (ISPA)

Nunavut Iron Ore may need to sweeten its bid for Baffinland Iron Mines (BIM.TO) again to persuade shareholders to accept its offer instead of ArcelorMittal's (ISPA.AS). The two companies have fought for control of Baffinland since September, trading offers for the Canadian iron ore explorer that have nearly doubled by year's end. Nunavut's current offer values Baffinland at C$570 million ($570 million) - not a large deal by global standards. Even so, the takeover battle illustrates how competition for raw materials has now spread to even the most remote corners of the world.