-- Yancoal Australia's (ASX:YAL) shares were up 1% in recent trading on Wednesday after the company said in an Australian bourse filing late on Tuesday that it entered into binding transaction documentation with EMR Capital Advisors, Kestrel Coal (EMR), Adaro Capital, and EMR Capital Management to acquire Kestrel Coal Group, which holds an 80% interest in the Kestrel coal mine joint venture in Queensland, for up to $2.4 billion.
The consideration includes an upfront cash consideration of $1.85 billion, payable on completion, as well as contingent cash consideration of up to a maximum of $550 million.
Completion of the acquisition is subject to the satisfaction of conditions precedent, including regulatory approvals, and is targeted towards the end of the third quarter.