The owner of a majority stake in Sydney-listed metallurgical coal producer Coronado Global Resources terminated its sale to Czech tycoon Pavel Tykac’s Sev.en Global Investments.
The Energy and Minerals Group said on Tuesday it wouldn’t proceed with the sale of its 51% stake after conditions in a September agreement, including approval by Australia’s Foreign Investment Review Board, hadn’t been met by a June 22 deadline.
Sev.en in September cited expansion opportunities across Coronado’s coal portfolio in Australia and the US as reasons for the purchase. The Prague-based company didn’t immediately reply to an email outside local business hours on Tuesday.
The Energy and Minerals Group is a Houston-based private equity company with about $14-billion of assets under management. Coronado shares have fallen 35% since September 25, the day before the sales agreement was made public, to a market capitalization of about A$2-billion.