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Macarthur Coal Ltd., the world’s largest producer of pulverized coal used by steelmakers, raised its full-year profit forecast as sales increased, bolstering speculation the company may be a takeover target.

Profit, excluding accounting adjustments, may be between A$115 million ($96 million) and A$125 million for the 12 months ended June 30, compared with its earlier forecast of A$103 million to A$113 million, Macarthur said today in a statement.

The Brisbane-based company rose 5.2 percent yesterday after Thailand’s Banpu Pcl agreed to buy the rest of Centennial Coal Co. for A$2 billion. Shares of Riversdale Mining Ltd. and Whitehaven Coal Ltd. also gained after the bid.

“The big question will be whether or not this upgrade and yesterday’s merger and acquisition news reignites interest from potential suitors,” Ben Potter, a strategist with IG Markets, said today in an e-mailed statement.

Macarthur, which this year rejected takeover offers from Peabody Energy Corp. and New Hope Corp., rose 1.3 percent to A$12.92 a share at 10:39 a.m. in Sydney on the Australian stock exchange, compared with a 0.5 percent drop in the benchmark index. Centennial and Coal & Allied Industries Ltd. also gained.

“Our operations have remained focused on coal delivery and, with the Dalrymple Bay Coal Terminal achieving record throughput in June, we were able to load some shipments sooner than expected,” Macarthur Chief Executive Officer Nicole Hollows said in the statement.

Mining Deal

Forecast profit will be lower than last year’s A$168.6 million because of lower coal prices, the company said.

Mining companies reached agreement last week with Prime Minister Julia Gillard on the new minerals resources rent tax, which included concessions they had sought. This ended a dispute that cost her predecessor Kevin Rudd his job.

The Centennial deal has rekindled corporate interest in the coal sector, UBS AG said yesterday in a report. Macarthur said in May that a A$3.8 billion takeover offer from Peabody was too low, a month after it rejected an offer from New Hope.

“If Peabody thought Macarthur was worth A$15 per share under the now defunct resource super profit tax, one would think it offers more value under the new mineral resources rental tax,” IB Markets’ Potter said.

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