Gina Rinehart's Hancock Prospecting has added $37 million to its bid for small-cap iron ore miner Atlas Iron Limited (ASX: AGO) to prop up the original $390 million offer.
Hancock's subsidiary, Redstone Corporation, has increased its price for Atlas Iron shares from 4.2c per share to 4.6c per share on the condition it holds an 87% stake in the company by offer close – upping its prospective stake from 77%.
Atlas has been in the takeover spotlight for months since Mineral Resources Limited (ASX: MIN) announced plans to gobble it up back in April for $280 million.
Hancock quickly outbid Mineral Resources at $390 million, which Atlas recommended shareholders accept, but Fortescue Metals Group Limited (ASX: FMG) entered the tussle in June on the grounds it had interests in the future of Port Hedland infrastructure owned by Atlas – reducing its stake in Atlas from almost 20% to just over 11% by August.
Atlas shares are up 2.3% to 0.4c per share at the time of writing.
