Chinalco tip on the relaunch of Rio Tinto February 13, 2009
Posted by madeinitalyblog in Raw materials.trackback
In full global economic crisis there are those who go in countertrend and decide to invest upstream. This is the case of the Chinese giant of aluminum “Chinalco”, which announced this morning that it will invest 19.5 billion U.S. dollars (15.2 billion euros at today’s exchange) in the mining of Rio Tinto. This is the largest Chinese investment made abroad. In detail, the operation requires that 12.3 billion are invested in companies of aluminum, copper and iron ore and the other 7.2 billion in convertible bond that allow Chinalco to increase the share in Anglo-Australian group of which is a member with the 9 per cent. The transaction will give new impetus to Rio Tinto that has a debt of 38.9 billion. The group has burned more than half of the capitalization on the stock market and this news was well received by equity markets.
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