7th Oct 2014 14:16
LONDON (Alliance News) - Metals giant Glencore PLC Tuesday reiterated that it's no longer "actively considering" any possible merger with, or offer for, miner Rio Tinto PLC.
Earlier Tuesday, mining giant Rio Tinto said it was contacted by Glencore in July regarding a potential merger of the two companies but rejected the proposal, saying it was not in the best interests of Rio Tinto shareholders. Rio Tinto confirmed that no talks are taking place with Glencore at present.
"The board's rejection was communicated to Glencore in early August and there has been no further contact between the companies on this matter," Rio Tinto said in a statement.
In its own statement Tuesday, Glencore said that while in July it was investing some form of a merger between the two companies, Rio Tinto responded that it was "not interested in pursuing these discussions".
"Glencore announces that in July 2014 it made an informal enquiry by telephone call to Rio Tinto, seeking to gauge whether there might be any interest at Rio Tinto in investigating some form of merger between the two companies. Rio Tinto responded that it was not interested in pursuing these discussions," it said.
"Glencore confirms that it is no longer actively considering any possible merger transaction with, or offer for the shares of, Rio Tinto," said Glencore in a statement Tuesday afternoon.
Glencore shares were trading 1.3% lower Tuesday afternoon at 334.75 pence, while Rio Tinto shares were up 2% at 3,058.00 pence, paring .
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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