HK Stock Market Move | Yancoal Australia (0368) rose more than 4% in afternoon trading, with the company planning to invest up to a maximum of $2.4 billion to acquire an 80% stake in the Red Hawk coal mine.

YANCOAL AUS (03668) rose more than 4% in the final trading session, rising by 4.09% to 38.66 Hong Kong dollars, with a turnover of 1.31 billion Hong Kong dollars. On the news front, YANCOAL AUS recently announced its intention to acquire 100% equity of the Red Hill Group, indirectly obtaining an 80% stake in the Red Hill coal mine, with a maximum transaction consideration of 2.4 billion US dollars, including an initial cash consideration of 1.85 billion US dollars and a potential additional cash consideration of up to 550 million US dollars. The announcement stated that the Red Hill coal mine is located in the Bowen Basin in Queensland, Australia, and is one of the largest operating underground coal mines in Australia. Yankuang Energy Group stated that the Red Hill coal mine is one of the largest underground metallurgical coal mines in Australia, producing low ash, high fluidity premium hard coking coal, ranking in the top 35% of global seaborne metallurgical coal profit curve. The transaction will be implemented by Yancoal Australia, and after consolidating the commercial coal production of the Red Hill coal mine, it will further solidify Yancoal Australia's market position among Australian coal producers; meanwhile, it will also diversify the company's coal mining layout, coal types, and customer structure, enhance asset quality, and strengthen the company's profitability resilience and long-term strategic flexibility.