HomeBase MetalsDelay in proposed Glencore-Xstrata merger

Delay in proposed Glencore-Xstrata merger

Xstrata’s Rustenburg
plant in South Africa
produces 430,000tpa
of ferrochrome
Zug, Switzerland — 13 April 2012 – Documentation relating to the proposed merger between leading integrated commodities producer and marketer Glencore International plc and global diversified mining group Xstrata has been delayed by a month, and will only be distributed to shareholders by the end of May 2012.

Revealing this in a statement released here, Xstrata said both companies were currently engaged in constructive discussions with the regulatory authorities which require anti-trust filings to be submitted in connection with the proposed merger, including the European Commission.

 The statement emphasised, however, that the companies still expected to receive all relevant approvals to enable completion of the merger in the third quarter of 2012, as previously announced.  

It added that respective shareholder meetings to approve the merger were expected to be convened in early July 2012.

The Panel on Takeovers and Mergers has given its consent to these arrangements.

Glencore is a leading integrated commodities producer and marketer. It produces, sources, processes, refines, transports, stores, finances and supplies commodities needed by industries around the world.

Xstrata is one of the top five global producers of copper, thermal and metallurgical coal, ferrochrome, zinc and nickel, and also produces silver, lead, platinum, gold, cobalt and vanadium.

Source: Xstrata. For more information, click here.