CMA Corp rejects $97m takeover proposal

The directors of metal recycling group CMA Corporation Ltd have rejected an unsolicited takeover proposal, valued at $97 million, saying the bid did not adequately value the company.

The un-named bidder was offering 22 cents per share to acquire 100 per cent of CMA's issued capital.

"While it is pleasing to have this approach, we do not believe the proposal represents adequate value for the company or the potential growth opportunities for CMA's businesses," chairman Alan Good said.

Shares in CMA closed down 1c to 16c today with a market capitalisaton of $70.5 million.