BHP Billiton said on Thursday it has received antitrust clearance from U.S. regulators to proceed with its $39 billion bid for Canada’s Potash Corp, clearing its first regulatory hurdle in the process.
Last month, the Anglo-Australian miner launched its hostile offer to take over the world’s largest fertilizer company. Potash Corp has flatly rejected the bid as “grossly inadequate” and filed a lawsuit against BHP in an attempt to stymie it.
BHP’s bid is still contingent on other regulatory approvals. It is likely to face much tougher scrutiny in Canada, where Canada’s competition watchdog has already requested for additional information.
The request prompted BHP to extend the deadline on the tender offer by a month to November 18.
