This site uses cookies to provide you with a great user experience. By using BondbloX, you accept our use of cookies.
Bond Market News
Rio Tinto and Glencore in Merger Talks
January 17, 2025
Rio Tinto and Glencore have discussed merging their businesses, a deal that would create a giant rivaling BHP, the top miner. While the talks were at an early stage and it’s unclear if they are still ongoing, a full merger would be a significant move, with Rio valued at $103bn and Glencore at $55bn. Rio has been aiming to increase its exposure to lithium and copper, while Glencore holds significant copper assets, including stakes in mines in Chile and Peru. However, a deal is complicated by Glencore’s heavy reliance on thermal coal, which Rio has been moving away from. Both companies own valuable copper mines, but Rio is still heavily reliant on iron ore, which faces a downturn as China’s construction boom slows. Analysts note that while there is little overlap between the companies, a merger could offer asset diversification and scale. The deal would also likely face antitrust scrutiny due to market concentration concerns.
Glencore’s longer dated bonds were up by 0.5 points, with its 6.5% 2033s up at 106.16, yielding 5.58%.
For more details, click here
Go back to Latest bond Market News
Related Posts:
BondbloX Pte. Ltd. is regulated by the Monetary Authority of Singapore as a Recognised Market Operator ("RMO") and exempted from Section 49(1) of the Securities and Futures Act (Cap. 289) ("SFA") under Section 49(7) of the SFA.