The Australian reported that Noble Group has signaled its opposition to the takeover of its Australian interest, Territory Resources, by increasing its stake in the junior, fuelling speculation the group could launch a rival bid.

Noble has not officially commented on the deal, but it has increased its 29.01% stake in the iron ore miner to 31.97%.

While it is not enough to block the bid, which has a 60% minimum acceptance condition, it sends a clear message the trader does not support the offer.

The Hong Kong trader has now hit its creep provision and the next move it makes on Territory would need to be a formal bid.

Noble, which owns Territory's debt and controls its marketing rights, had entered into a debt to equity deal with the junior, which was trumped by Exxaro's bid.

South Africa's Exxaro Resources last month launched a AUD 123 million bid for Perth based Territory, which was only supported by the majority of the target's board, with non independent chairman Mr Andrew Simpson opposing the move.

(Sourced from theaustralian.com.au)