Toho Zinc Co. of Japan announced today that it is increasing its bid for the takeover of CBH Resources Ltd. by 20%. Toho, which is currently the major stakeholder in CBH Resources, increased its bid to 30 cents per share from previously offered 25 cents per share.

CBH Resources confirmed the news and said that said its independent directors will meet shortly to consider the improved bid by Toho. However, CBH also said its shareholders not to take any immediate action as it is very early stage of the talks. Shares of the CBH were reported closed 13% higher after today's trading.

Toho Zinc Co. increased its takeover offer to 30 cents per share, increasing by 20% from an earlier bid of 25 cents. According to the sweetened bid, now CBH is valued at $A328.4 million. The revised offer by Toho comes after Nyrstar NV raised its bid for CBH Resources. The Nyrstar offer values CBH at $A311.2 million.

Toho Zinc is already the largest stakeholder in CBH with around 24% stake. Toho wants to raise its stake in CBH as much as 49.9%, which is the maximum level permitted without taking control.

However, CBH said in a statement that the directors of the company will meet to decide on whether to consider the latest proposal or not. The shareholders' meeting is also scheduled on April 28 to discuss the takeover bids by both the companies.