Peabody Energy Reportedly In Talks To Buy Drummond International

(RTTNews) - U.S. miner Peabody Energy Corp. (BTU) has held discussions to buy Colombian peer Drummond International LLC, the Wall Street Journal reported citing people familiar with the matter.

It is unclear how advanced the talks are or if the two sides will reach an agreement, the report said.

The potential deal would see Peabody acquire 80% of Drummond International, Colombia's top coal exporter, leaving the remaining 20% in the hands of Japanese trading house Itochu Corp., the Journal reported. The deal could be valued at between $4 billion and $4.5 billion, the report said. Itochu paid $1.5 billion for the 20% stake in Drummond in 2011.