Sources say Glencore is close to appointing Citi for merger talks with Rio Tinto as a consultant.
Two people familiar with the matter said that the Swiss miner Glencore was close to appointing Citi as its "lead investment banking firm" for its potential acquisition of Rio Tinto, which could result in the creation of the world's biggest miner worth over $200 billion. Citigroup Global Markets Inc. filed a disclosure with the UK Takeover Panel on January that identified itself as being connected to Glencore Plc, in relation to an possible deal with Rio Tinto, according to filings at the London Stock Exchange. Both the bank and Glencore declined to comment. Citi has had a longstanding relationship with Glencore.
Petrofac UK seeks to reach a compromise with creditors on asset sales
Petrofac, a British oilfield service provider, announced on Wednesday that its creditors would meet later this month to vote on the proposal to compromise on some of their claims in order to allow for the sale of company's Asset Solutions business. Petrofac agreed in December to sell its business to Texas-based CB&I as a way to repay secured creditor, after months of being forced into administration by the loss?of a large contract. The sale of the company, which provides services such as operations, maintenance, and decommissioning for energy assets, should generate between $45 million and $55 million.
Mega-deals in mining that created global giants
The companies have confirmed that they are in the early stages of talks with each other to purchase Glencore. This could result in the creation of the world's biggest mining company, valued at nearly $207 billion. This move is a result of global'miners racing to scale up metals such as copper, which are seen as?critical for the energy transition. It has fueled a surge in expansions and takeovers. According to LSEG, Glencore's enterprise value is $99 billion. This would make it the largest deal ever in this sector. Here's a list of major mining deals.
London's FTSE 100 ends lower in a shortened Christmas Eve Session
Investors trimmed positions in pharma giants AstraZeneca & GSK in a shortened Christmas Eve session. The UK's blue chip FTSE 100 'closed down' 0.2% and moved sideways after hitting a 5-week high last 'week, following the Bank of England rate cut of 25 basis points. AstraZeneca dropped by about 0.5% and GSK fell by about 0.5%. The FTSE 250 midcap index, which is primarily focused on domestic companies, was down 0.07% but still managed to notch up its second consecutive weekly gain. As many markets were closed or operating with reduced hours on Christmas Eve, trading volumes were low.
FTSE 100 ticks down in shortened Christmas Eve Session
The FTSE 100 dipped on Wednesday as gains in homebuilders were offset by losses in healthcare during a shortened Christmas Eve session. The UK blue-chip FTSE 100 fell?0.1% to 0936 GMT. It has been trading in a sideways fashion since hitting a five-week-high?last Thursday following the Bank of England’s 25 basis-point rate cut. The midcap FTSE 250 index, which is focused on domestic companies, was up 0.07% for its second straight week of gains. As many markets will be closed or working with reduced hours on Christmas Eve, trading volumes are expected to remain low. The London Stock Exchange will close at 1230 GMT, on Wednesday.
Teck Resources shareholders approve merger With Anglo American
Shareholders in the Canadian miner Teck Resources voted on Tuesday for the merger with Anglo American. This allows both companies to proceed to the next step of seeking approvals from regulators around the world. Teck and Anglo American announced their merger in September in a $53 billion all-stock deal, creating the fifth largest copper miner on the planet. Anglo-Teck would have its headquarters in Vancouver, Canada and be listed on the London Stock Exchange. Anglo-Teck's portfolio is expected to produce "more than 1.2 millions tonnes of copper per year", the companies have said.
FTSE 100 closes at record high, boosted mainly by oil and earnings
The London Stock Exchange Group, Rentokil and oil stocks helped lift the FTSE 100 index to a new record high. The FTSE 100, a commodity-heavy index, rose up to 0.8% during the session and reached a new record high of 9594.82 before falling back down to 0.7%. Shell and BP, two of the world's largest oil companies, gained 3,2% and 3.8% each after U.S. sanctions were imposed on Rosneft (a major Russian supplier) and Lukoil (a major Russian supplier). The London Stock Exchange Group's earnings jumped 6.7%, after the exchange operator announced it would sell 20 percent of its post-trade business.
ContourGlobal, backed by KKR, targets British renewables
KKR ContourGlobal is planning to enter the renewable energy market in Britain as it pursues a strategy of streamlining that will see other countries removed from its portfolio. ContourGlobal, founded 2005 and listed on the London Stock Exchange in 2017, was acquired by KKR Fund in 2022. "We are simplifying the company and reducing the footprint of the group from 17 to 10 countries," said Antonello Cammisecra, President and CEO at an event to unveil the new logo for the group. Cammisecra stated that ContourGlobal plans to install renewable energy capacity of several hundred megawatts in Britain by 2030.
FTSE 100 reaches record high thanks to oil stocks and positive earnings
The London FTSE 100 reached a record intraday high on Thursday, boosted by oil stocks and positive earnings from blue-chip companies such as LSEG Rentokil. The index, which is heavily influenced by commodities, rose up to 0.7% and reached a new record of 9,579.07 point. By 1200 GMT, it was up 0.6%. Shell and BP each gained 3% as crude prices jumped over 5% following the U.S. imposing sanctions on Rosneft, Lukoil and other major Russian suppliers because of the Ukraine conflict. The London Stock Exchange Group's earnings jumped 6.7%, after the exchange operator announced it would sell 20 percent of its post-trade business.
INSTANT VIEW - Teck and Anglo forge a $53 billion mining giant to bet on the surging demand for copper
Anglo American, a London-listed company, and Teck Resources, a Canadian firm, will merge for $53 billion, both companies announced on Tuesday. This is the largest mining deal in over a decade. Anglo Teck will have its headquarters in Canada and a primary listing on the London Stock Exchange, according to the companies. The merger will change the game for Anglo American. We believe that the merger of these two companies will result in the creation of a major copper-producing company, comparable to Escondida, and superior to Antofagasta. The combined company would also have some iron ore, zinc, and premium iron ore diversification.
Maurel & Prom revenue drops in first half due to falling oil prices
Maurel & Prom, a French oil company, reported a 30 percent drop in revenue for the first half of its fiscal year on Thursday. The fall in oil prices was to blame. The average price of oil products fell 16% on an annual basis to $70.90 per barrel. Crude oil prices dropped in the second quarter, as OPEC+ (made up of the Organization of Petroleum Exporting Countries, and its allies, such as Russia), began to undo the self-imposed production reductions of 2,17 million barrels a day that were imposed in April. TotalEnergies…
Saudi Aramco may soon issue Islamic bonds as a prospectus suggests
Saudi Aramco published a prospectus for a programme to issue Islamic bonds, or sukuk. This indicates that the state oil giant may tap debt markets soon after raising $5 billion in a three-part sale of bonds this week. The prospectus submitted to the London Stock Exchange, where the sukuk will be listed, dates May 30. Aramco is allowed to issue sukuk for a period of one year under the terms. Aramco raised $5 billion earlier this week through the sale of conventional bonds. The borrower is Aramco, which has seen its profits eroded by economic uncertainty and increased supply on the crude market.
As Q4 losses and debt rise, Raizen seeks refuge in its core business
Nelson Gomes, the CEO of Brazil's Raizen, said that the company is returning to its core business, including sugar and alcohol production. This was a day after Raizen reported a net loss for its fourth quarter of 2,5 billion reais (444.2 million dollars). Raizen's Net Debt jumped by nearly 80% in the year ending March 31 to over 34 billion reais, the company announced on Tuesday. It cited a number of large investments and its operational result. Gomes stated that Raizen, one of Brazil's largest fuel distributors and the world's leading sugarcane processor…
Wood Group, UK misses deadline for 2024 results and faces listing suspension
Wood Group, the British oilfield service firm which is Sidara's target for takeover, announced on Wednesday that it will not be publishing its annual results before April 30, as it hasn't completed its audit. In November of last year, the company began an independent review into its accounting for certain unusual charges in its interim financial results. Wood Group stated that due to the timing of the completion of the independent audit and the work required to complete the 2024 audit, it does not expect to publish the 2024 accounts before April 30. However, they did not specify a deadline.
BP discovers oil off US Gulf Coast
BP announced on Monday that it had made an oil find at the Far South Field in the U.S. Gulf of Mexico. The energy giant is seeking to increase production as part of a new strategy, which was announced earlier this summer. Green Canyon Block 584 is located about 120 miles (203.12 km) from the coast of Louisiana. The initial well as well as a sidetrack both encountered oil. The company stated that preliminary data indicated a potential commercial volume of gas and oil. The company also announced that it would increase its output in the Gulf of Mexico by 400,000 barrels of equivalent oil per day by 2030.
EnQuest pays its first dividend after a swing to an annual profit
EnQuest, a North Sea oil producer, declared its first ever final dividend of 15 million dollars on Thursday. The higher oil prices helped to boost the company's annual profit after tax. The shares of the London listed energy group rose by 3.4% at 13.8 pence as of 0830 GMT after it announced that it would pay its first dividend of 0.616 penny per share in June. It reported a profit after tax of $93.8 millions for 2024. This follows a loss of $30.8 million the year before. EnQuest has declined to provide an update about the discussions ahead of EnQuest's deadline to submit an offer on April 4.
Glencore approached Li-Cycle battery recycler for possible deal
As part of its proposal to address operational and financial problems, Glencore (listed on the London Stock Exchange) has offered to buy Canadian lithium battery recycling firm Li-Cycle. In a March 14 letter to the board chair, Glencore stated that it wanted to begin discussions as soon as possible with Li-Cycle and the other shareholders of the company regarding the potential deal. Li-Cycle’s debt, held by Glencore, is convertible into approximately 84 million shares of the recycling company. Last year, the Toronto-based firm amended its shareholder rights plan to exclude Glencore Canada and allow it to purchase more than 20% in the company.
Financial Times - 24 February
These are the most popular stories from the Financial Times. These stories have not been verified and we cannot vouch their accuracy. Britain and India are resuming talks to reach a long-awaited deal on trade. The negotiations had been delayed due to the elections held in both countries. The UK Government has committed to invest 200 million pounds ($253,26 million) in projects at Grangemouth, as the closure of Scotland's sole oil refinery is planned for the next few months. This will result in redundancies among the workers. BMW has suspended a 600-million-pound investment plan for the production of electric Minis in Oxford.
Financial Times - Oct 16
These are the most popular stories from the Financial Times. These stories have not been verified and we cannot vouch for the accuracy of these reports. BBC, the British broadcaster, has announced plans for 155 job cuts across its news operations. This is part of a larger cost-cutting plan worth 700 million pounds (915 million dollars). Woodside Energy, an Australian oil and natural gas company, announced on Wednesday that it will delist next month from the London Stock Exchange in order to cut down the administration costs of the business.
Woodside Energy Q3 revenue exceeds expectations and will be delisted from LSE
Woodside Energy, an Australian company, reported on Wednesday a sequential increase in revenue for the third quarter and a record-breaking quarterly output. This was boosted by a faster ramp-up at its Sangomar Project and a strong performance across all of their LNG portfolios. The top independent oil producer in the country posted a 21% increase in revenue for the three-month period ended September 30, surpassing Visible Alpha's consensus estimate of $3.2 billion. Woodside's average realized prices for the third quarter of 2015 rose to $65. This is higher than the $62 boe price in the second quarter.