Earlier this month, Mineral Resources acquired a 12.78% stake in Aquila Resources and the companies held discussions over a conditional A$3.75 share proposal for the remaining shares of Aquila.
However, the discussions are terminated as the parties were unable to agree the terms for the proposed bid.
Aquila directors asked the shareholders to accept A$3.4 a share offer made by Baosteel and Australia’s Aurizon Holdings valuing the iron ore producer at A$1.54bn ($1.44bn).
Baosteel Resources International chairman Dai Zhihao said: "If our offer is successful, it provides to Aquila shareholders who accept the offer certainty, cash and a significant premium in an iron ore market that has significantly declined since we made our Offer."
"If our bid is successful, we look forward to quickly progressing Aquila’s major resource projects including the West Pilbara Iron Ore Project," added Zhihao.
Last week, the consortium said it will not increase the offer price and will not extend the offer period beyond 11 July 2014.
