Xstrata sets deadline for WMC bid

LONDON-listed mining giant Xstrata has made a last-ditch attempt to land £3.3bn Australian takeover target WMC by declaring its bid unconditional and warning it is prepared to walk away in a matter of weeks.

In a fresh twist to one of the most acrimonious acquisition battles the City has seen in recent times, Xstrata has dropped its pre-condition that it wins backing from investors holding 90% of WMC's shares.

Institutions now have until 24 March to accept Xstrata's offer of A$7 a share or refuse and see the group take a sizeable minority stake.

Chief executive Mick Davis said the decision was designed to flush out rival bidders such as Rio Tinto and BHP Billiton once and for all. He added: 'Our interest in acquiring WMC has been a matter of public record since 28 October.

'During that period there has been constant speculation that other parties would bid for WMC at prices superior to our offer. No proposal of any kind has been put to shareholders by WMC or any other party, nor has any rival offer emerged. It is now time for the directors and shareholders of WMC to make their decision.'

Xstrata today unveiled stunning annual results which showed the surge in global commodity prices last year helped underlying profits rocket more than fivefold to $1.1bn (£573m). The divi rises 20% to 24 cents .