To purchase this space contact Gordon

CIMIC Group has flagged that it is selling a portion of Thiess’ ownership stake to London-based funds management company Elliott Advisors.

CIMIC is in an advanced stage of negotiation with Elliott to transfer 50 per cent of Thiess’ equity to the Elliott Management Corporation affiliate.

Elliott Management is one of the oldest fund managers in America with approximately $US40.2 billion ($56.2 billion) in assets under management as of December last year.

“The introduction of an equity partner into Thiess would capitalise on the robust outlook for the mining sector and provide capital for Thiess’ continued growth, while enabling CIMIC to maintain its strong balance sheet,” CIMIC stated in an ASX announcement.

Should the transaction go ahead, Thiess would be jointly controlled by CIMIC and Elliott.

CIMIC expects the negotiations to conclude in the coming weeks with a share purchase agreement that will be subject to regulatory approvals.

Thiess boasts a solid portfolio of mining services contracts, including at BHP Mitsubishi Alliance’s Peak Downs and Caval Ridge coal mines in Queensland, OZ Minerals’ Prominent Hill copper-gold mine in South Australia and Glencore’s Mt Owen coal mine in New South Wales.