Anglo American PLC fell nearly 6% on Monday following reports rival BHP Group Ltd was holding off from making another bid for the miner.
According to the Financial Times, a surge in Anglo’s share price over the past year had deterred the Australian group.
Another bid would now be too expensive to justify as a result, Financial Times-cited sources said.
BHP had tabled a £39 billion offer last year, though was unsuccessful.
Anglo subsequently launched a major restructuring effort, including plans to dispose of its coal, platinum and diamond wings, which in turn buoyed the shares.
Anglo dropped 5.8% to 2,387.5p on Monday in the wake of the report.