KGHM Falls to One-Week Low After Saying Needs More Acquisitions

KGHM Polska Miedz SA (KGH) fell to the lowest level in more than a week after Poland’s sole copper producer said it needs to make at least one acquisition to achieve its 2018 production target.

The shares dropped as much as 3.8 percent, the most since Feb. 10, and traded 3.2 percent down at 141.90 zloty as of 11:43 a.m. in Warsaw, the weakest since Feb. 27.

The copper miner, which has Europe’s biggest output, yesterday completed a purchase of Canada’s Quadra FNX Mining Ltd. for C$2.87 billion ($2.87 billion). KGHM needs “at least one more” acquisition to increase production of the metal to its target of 700,000 a year by 2018 from 509,000 tons a year in 2011, Chief Executive Officer Herbert Wirth said at a conference in Warsaw today.

Copper fell for a third day in London as a report confirmed a contraction in the euro-area economy and as China lowered growth targets yesterday.

To contact the reporter on this story: Piotr Bujnicki in Warsaw pbujnicki@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.