MMK says not planning to buy Australia's Sundance Resources
MOSCOW. Dec 8 (Interfax) - Viktor Rashnikov and his Magnitogorsk Iron & Steel Works (MMK) are not interested in buying Australian iron ore miner Sundance Resources, MMK told Interfax.
Australia's Financial Review reported, without saying where it got the information, that Rashnikov and MMK were thinking of buying the company.
The MMK Group, in which Rashnikov owns 87.3% of the shares, had net profit of $546 million in January-September, despite a drop in revenue due to the ruble's devaluation and lower steel prices. The company generated enough cash flow in the space of a quarter to accumulate $336 million in cash and cash equivalents and $597 million in short-term bank deposits for the 9M. Net debt had fallen by $913 million during January-September to $1.125 billion, net debt/EBITDA was just 0.63x and short-term debt was $908 million as of September 30.