Xstrata, the Swiss-based mining group, has acknowledged that a merger with Glencore, the privately held commodities trader, could create value. The prospect of a merger with Glencore, which owns 34% of Xstrata, has increased in recent months as Xstrata has pursued deals and Glencore has tapped capital markets. Mick Davis, Xstrata CEO, said Glencore had considered the idea though not actively. Separately, Xstrata on Monday reported a 60% drop in annual profits and said it would resume dividend payments after a 19-month break.

This entry was posted by Gwen Robinson on Tuesday, February 9th, 2010 at 5:08 and is featured in The 6am Cut London (9 Feb 2010) . Tagged with glencore, xstrata. Edit this entry.