Glencore says remains open to dealmaking

MINER and commodity trader Glencore said it is open to merger and acquisitions that create value for its shareholders.“As we have always said, M&A is something we are good at and we are always open to do transactions that are value-accretive for the company,” a Glencore spokesperson told Reuters.Glencore made an approach to Rio Tinto late last year with a proposition to merge the two mining companies but talks did not progress, said Reuters citing two sources close to the matter. Neither company has commented on any talks. The spokesperson would not comment on the reports, it said.Potential M&A deals were the chief preoccupation for investors in the sector in 2024, but BHP’s $49bn failed bid for Anglo American in May showed the difficulty of combining diversified producers, the newswire said.Commenting on a tie-up between Glencore and Rio, Abel Martins Alexandre, previously a Rio Tinto treasurer and a former managing director at Lloyds Bank, told Reuters: “Glencore is a trader… and their operating assets are nothing but a captive source of material for them to trade against. The culture clash would be quite something… but any deal can be done at the right price”.For example, Martins Alexandre said if Glencore had Rio Tinto’s portfolio they may believe they could make more money out of trading the materials that Rio Tinto produces than Rio Tinto does alone, as this is not a trading entity.The post Glencore says remains open to dealmaking appeared first on Miningmx.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com