Cliffs Natural Resources raises stake in Spider Resources to nearly 82 percent

Cliffs Natural raises stake in Spider Resources

CLEVELAND — Cliffs Natural Resources Inc. said Monday that it has raised its stake in Canada’s Spider Resources Inc. to nearly 82 percent and extended the deadline on its tender offer for the rest of the company by a week.

Cliffs launched its bid for Spider last month amid a three-way fight to take control of a chromite mining project in northern Ontario called Big Daddy, which it operates with Spider and a third company called KWG Resources Inc.

Cliffs had already gained control of the mine by raising its stake in Spider to 52.1 percent under an initial tender offer that expired July 6, beating out a competing bid from KWG.

Cliffs offered Spider shareholders 19 Canadian cents (18 cents) per share, valuing the company at 125 million Canadian dollars ($118 million). That topped KWG’s offer of 16.5 Canadian cents per share.

Cliffs said Monday it is giving Spider shareholders until July 26 to accept the offer.

Cliffs shares were down 68 cents to $45.87 in afternoon trading.