What did the Federal Court of Australia decide regarding Rio Tinto (ASX:RIO) and Energy Resources of Australia (ASX:ERA)?

The Federal Court approved Rio Tinto's application for the compulsory acquisition of all remaining ordinary shares in Energy Resources of Australia (ASX:ERA). The judgment, handed down on 5 June, overruled formal objections from minority shareholders who collectively held more than 10 per cent of the remaining stock.

What price will minority shareholders receive in the Rio Tinto buyout of Energy Resources of Australia (ASX:ERA)?

Rio Tinto will compulsorily acquire the outstanding ordinary shares it does not already own at a consideration price of $0.002 per share. This buyout price follows the court's approval of the acquisition notice originally filed by Rio Tinto under the Corporations Act.

When will trading for Energy Resources of Australia (ASX:ERA) shares be suspended on the ASX?

Trading of Energy Resources of Australia (ASX:ERA) securities is scheduled to be automatically suspended by the ASX at the close of market on Monday, 15 June. This suspension takes effect exactly five business days after the Federal Court's ruling.

What happens if an investor sells Energy Resources of Australia (ASX:ERA) shares before the ASX trading suspension?

Investors who sell their Energy Resources of Australia (ASX:ERA) shares on the open market prior to the 15 June suspension will forfeit their entitlement to the $0.002 per share buyout payment. The ERA board clarified that the compulsory acquisition payment is only for shares held through the official buyout process.

When will Energy Resources of Australia (ASX:ERA) be completely delisted from the ASX?

While trading will be suspended on 15 June, Energy Resources of Australia (ASX:ERA) will remain on the ASX official list until its 28-day appeal period has formally lapsed. The company requested this extension to allow stakeholders a final window to review the full judgment via the Commonwealth Courts web portal.

What was the legal basis for Rio Tinto’s compulsory acquisition of Energy Resources of Australia (ASX:ERA)?

The legal battle commenced under section 664F of the Corporations Act 2001 (Cth) after Rio Tinto filed an initial acquisition notice on 11 April. The court ultimately ruled that the compulsory acquisition could proceed despite organized pushback from minority retail investors.

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Federal Court approves Rio Tinto buyout of ERA shares

Written by Brie CarterPublished Jun. 8 2026Last Updated Jun. 8 2026

The Federal Court of Australia has approved mining giant Rio Tinto's (ASX:RIO) application for the compulsory acquisition of all remaining ordinary shares in Energy Resources of Australia (ASX:ERA).

The judgement was handed down on June 5, overruling formal objections lodged by minority shareholders who collectively held more than 10% of the remaining stock.

The legal battle commenced under section 664F of the Corporations Act 2001 (Cth) following Rio Tinto's initial acquisition notice filed on April 11.

With the court's green light, Rio Tinto will now move forward to buy out the outstanding shares it does not already own at a consideration price of $0.002 per share.

As a direct consequence of the ruling, the Australian Securities Exchange is scheduled to automatically suspend trading of ERA’s securities in five business days, effective at the close of market on June 15.

While shares will continue to trade normally until the suspension date, ERA's board clarified that individuals who sell their shares on the open market prior to the deadline will forfeit their entitlement to the buyout payment under the acquisition notice.

At the company's request, the ASX has confirmed that ERA will remain on the official list until the 28-day appeal period has formally lapsed, giving stakeholders a final window to review the full judgement via the Commonwealth Courts web portal.