Arch Coal (ACI.N) will buy smaller peer International Coal Group Inc (ICO.N) for $3.4 billion in cash to create the second-largest U.S. producer of steel-making coal, the companies said on Monday. Arch will pay $14.60 per share of International Coal, a 32 percent premium to the closing stock price on Friday. The news boosted International Coal shares 31.5 percent to $14.50 in premarket trading, while Arch fell 2.3 percent to $33.50. The deal would make Arch one of the top five global coal producers and marketers, with shipments of 179 million tons based on 2010 figures, it said.
Arch Coal, Inc. (Arch) is a coal producer company. Shares of ACI remained unchanged at $34.3. In the past year, the shares have traded as low as $19.09 and as high as $36.99. On average, 4047010 shares of ACI exchange hands on a given day and today's volume is recorded at 44945.
International Coal Group, Inc. (ICG) is a producer of coal in Northern and Central Appalachia with a range of mid- to high British thermal unit (Btu), low to medium sulfur steam and metallurgical coal. Shares of ICO remained unchanged at $11.03. In the past year, the shares have traded as low as $3.59 and as high as $11.62. On average, 7766850 shares of ICO exchange hands on a given day and today's volume is recorded at 5302558.
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