MMG (HKEX: 1208) and Anglo American (LON: AAL) have agreed to extend the long-stop date for their US$500 million Brazilian nickel deal from October 31 to December 31, 2026, avoiding termination before regulatory approval is secured. The European Commission has launched an in-depth Phase II investigation and is expected to issue its decision by December 21.
The EU's main concern is that the acquisition could allow MMG to divert Brazilian ferronickel supplies away from Europe, affecting the EU stainless steel industry and increasing its dependence on China. The deal includes two ferronickel projects and two greenfield projects in Brazil. MMG said it will continue to work with the EU and Anglo American to assist the review, and had offered guarantees before the original deadline to maintain ferronickel supplies to European stainless steel producers. Anglo American has said it may close its Brazilian nickel operations if the EU blocks the deal. The antitrust decision is expected by the end of 2026, leaving the companies about 10 days to decide how to proceed.
