Australia’s Gloucester Coal (GCL.AX) said on Friday it remained in talks with its majority shareholder, Singapore’s Noble Group (NOBG.SI), on acquiring some of Noble’s Australian coal assets.

But Gloucester, which is 92%owned by Noble, said no agreement had been reached and no decision was made on any capital raising. 

 

The company was responding to a report in The Australian Financial Review which said Gloucester was preparing an investor roadshow aimed at raising A$500 million ($604 million) to buy assets.

 

The paper said the share issue, which would also boost the company’s limited freefloat, would help Gloucester buy some assets from Noble, including stakes in the Middlemount and Monto projects. 

 

"No agreement has been reached between Gloucester and Noble and no decision has been made in respect of any capital raising," Gloucester said in a statement. 

 

A Gloucester spokeswoman declined further comment. 

 

Noble has made a A$12.60 per share bid for the Gloucester stock it does not already own. The offer closes on August 4. 

 

Macarthur Coal (MCC.AX) in May called off an agreed merger with Gloucester after Noble poured cold water on the deal. 

 

There have been a flurry of deals in Australia’s coal sector since the Australian government reached an agreement with top global miners over a disputed resources tax. 

 

Privately-owned coal miner Aston Resources is also seeking to raise equity, most likely through an initial public offering but it is also talking to potential cornerstone investors. 

 

Gloucester shares last traded at A$12.43 on Thursday.