Overview
- Both companies confirmed preliminary discussions on combining some or all of their businesses, including an all-share transaction executed via a court‑sanctioned scheme of arrangement with Rio acquiring Glencore.
- A completed deal would create the world’s largest miner with an enterprise value estimated above US$260 billion, according to reporting based on LSEG data.
- Initial market reaction saw Glencore shares rise about 6% in U.S. trading as Rio Tinto shares fell, with declines extending to more than 5% on the ASX.
- Analysts highlight copper and other energy-transition minerals as key drivers, with the talks unfolding as industry consolidation accelerates after the Anglo American–Teck merger.
- There is no certainty a transaction will be agreed, and key hurdles include valuation, leadership, and the future of Glencore’s coal and trading businesses, raising the prospect of carve‑outs.