26 jun: Den hurtigste Bentley til dato - Continental GT Speed
27 jun: IWC lancerer Big Pilot special edition i anledning af EM i fodbol..
27-06-2012 01:23:00

UPDATE: Qatar Holding Calls on Glencore to Sweeten Offer for Xstrata

Relateret indhold

--Qatar Holding says while it sees merit in merger, it wants better merger terms

--Qatar wants a share-swap ratio of 3.25 Glencore shares for every Xstrata share, up from the current proposal of 2.8 ratio

--Qatar says higher swap ratio properly recognizes Xstrata's intrinsic standalone value

By Alex MacDonald

LONDON--Sovereign-wealth fund Qatar Holding, which has amassed a substantial stake in Xstrata PLC (XTA.LN), called on Glencore International PLC (0805.HK, GLEN.LN, GLNCY) Tuesday to sweeten the terms of its merger proposal with the Anglo-Swiss miner.

The surprise announcement by Qatar Holding places another obstacle in Glencore and Xstrata's quest to secure shareholder votes for their proposed merger of equals, which would create a mining juggernaut with a market capitalization of nearly $58 billion and assets in oil, coal, base metals, precious metals and agriculture. The merger has raised the ire of some shareholders who are unhappy about a hefty retention package that would be awarded to Xstrata's management as part of the deal.

Qatar Holding said it informed Glencore Tuesday while it sees merit in a combination of the two companies, it is seeking improved merger terms.

Qatar Holding said it "believes that an exchange ratio of 3.25 new Glencore shares for every one existing Xstrata share would provide a more-appropriate distribution of benefits of the merger whilst properly recognizing the intrinsic stand-alone value of Xstrata."

In February, Glencore and Xstrata disclosed a merger of equals to create the world's fourth-largest mining company by market capitalization, based on a share-swap ratio of 2.8 new Glencore shares for every Xstrata share.

Since the merger was disclosed in February, Qatar has amassed a roughly 11% stake in Xstrata, making it the second-largest shareholder after Glencore, which owns a 34% stake.

Glencore shareholders are due to vote on the deal July 11 and Xstrata's shareholders are due to vote on the deal July 12. Based on how the deal is structured, the deal could be blocked if shareholders representing just over 16% of Xstrata's share capital vote against the deal. Glencore isn't allowed to vote at Xstrata's shareholder meeting since it is involved in the deal.

Spokespeople for Glencore and Xstrata declined to comment on Qatar Holding's statement.

Qatar's announcement marks a significant shift in its investment approach since it now looks like a strategic investor rather than an opportunistic investor. Qatar is being advised by investment bank Lazard Ltd. (LAZ) in the Glencore-Xstrata merger.

Analysts previously had said Qatar's push into the miner was opportunistic, like its other myriad investments in flagship European companies this year such Total SA (TOT, FP.FR), Royal Dutch Shell PLC (RDSA.LN, RDSA, RDSB.LN, RDSB) and Germany's Siemens AG (SI, SIE.XE).

They had also said while the merger's swap ratio seemed unattractive when it was first announced, the recent drop in commodity prices, particularly coal prices, lowered Xstrata's valuation and made the swap ratio look more reasonable despite calls from large Xstrata shareholders such as Fidelity and Standard Life Investments, who previously had said the ratio wasn't sufficiently attractive.

July 12, Xstrata shareholders are expected to vote on two separate items: the deal and retention packages valued at GBP173 million ($270 million) for 73 top Xstrata executives, including a GBP29 million nonperformance-retention package for Xstrata Chief Executive Mick Davis to remain on board.

Xstrata has said the retention packages were necessary to retain Xstrata's management, which will be responsible for operating assets that accounted for more than 80% of the combined company's income last year. Xstrata said the deal only would go ahead if the retention packages also were approved by shareholders.

The retention packages, however, have attracted the ire of several large shareholders including Fidelity, Standard Life and Royal London Asset Management, on grounds that they aren't linked to performance.

"The problem is anyone voting in favor of this [retention] plan is voting to kill the 'Shareholder Spring' stone dead and, to be honest, will destroy any credibility they have in the governance arena, so I don't think there's going to be many supporters," David Cumming, head of equities at Standard Life told the BBC's "Today" show Tuesday, according to U.K. newspaper the Telegraph. The Shareholder Spring is a movement in which shareholders of several large, U.K.-listed companies have voted against what they consider excessive pay packages.

"On that basis the deal is in jeopardy," he said. To save it, he added, "they're almost going to have to hand over to Glencore, make it a takeover rather than a merger and that might involve Mick Davis actually standing down."

Xstrata declined to comment on the matter, according to the Telegraph.

The Association of British Insurers last week issued its top alert to members, raising concerns Xstrata's pay package constituted a breach of its corporate-governance rules. The ABI's 300-plus members account for about 17% of the U.K. stock market.

Qatar Holding didn't make any comment about Xstrata's retention package in its statement and couldn't immediately be reached for further comment.

--Alex Delmar-Morgan contributed to this article.

Write to Alex MacDonald at alex.macdonald@dowjones.com.

(END) Dow Jones Newswires

June 26, 2012 19:23 ET (23:23 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.

Opret kommentar

Relateret debat

  • 1 uge
  • 1 måned
  • 1 År
Ingen indlæg

Fondsbørsmeddelelser

Torm/Jyske: Regnskabstal afslører lav pris for aktien

23-01-2018 16:21:15
Jyske Bank har set nærmere på rederiet Torm, og nu sænker banken kursmålet et nøk til 68 kr. fra 72 kr.Banken har dog fortsat et positivt syn på aktien, der fortsat får anbefalingen "køb".Med Torms regnskabsopdatering, der blev præsenteret sammen med planerne om skibskøb og en kapitaludvidelse sent mandag, bliver den lave pris for Torm åbenbar, vurderer Jyske Bank.Den øgede likviditet i aktien, so..

Mærsk/Sydbank: Drilling-salg er realistisk - ikke nødvendigvis elegant

23-01-2018 13:17:37
Det giver fin mening, at A.P. Møller Holding sammen med en ukendt industripartner skulle være tæt på at købe borerigselskabet Maersk Drilling af A.P. Møller-Mærsk.Ifølge Berlingske Business, der har talt med flere anonyme kilder, skulle handlen have en værdi af over 27 mia. kr.- Til trods for stigende oliepriser er drilling stadig et presset marked. Der er ingen af Mærsks konkurrenter, der har pen..

Aktier/åbning: Tryg går til bunds i positivt marked - Mærsk stiger

23-01-2018 09:24:18
Tryg halter tirsdag morgen lidt efter det generelle marked, efter at forsikringskoncernen har skudt regnskabssæsonen ind med tal for fjerde kvartal, der peger i flere retninger.Målt på det forsikringstekniske resultat slog Tryg akkurat analytikerforventningerne. Til gengæld haltede bundlinjen lidt efter forventningerne blandt andet som følge af en lidt skuffende investeringsafkast. Også bruttopræm..

Mest læste nyheder

  • 24 timer
  • 48 timer
  • 1 uge
1
Genmab: Partner melder om vækst i Darzalex-salg på 86 pct.
2
Danske Bank/RBC: Konsensus for udlodninger efter 2018 er for høje
3
Aktier/middag: Salgsrygter sender Mærsk til tops i positivt marked
4
Mærsk/Sydbank: Drilling-salg er realistisk - ikke nødvendigvis elegant
5
Aktier/åbning: Tryg går til bunds i positivt marked - Mærsk stiger

Relaterede aktiekurser

Total 47,45 -0,9% Fald i aktiekurs
Royal Dutch Shell PLC 'A.. 2.533,00 0,5% Stigning i aktiekurs
Royal Dutch Shell PLC 'B.. 2.584,50 0,6% Stigning i aktiekurs
Royal Dutch Shell PLC Ro.. 71,02 0,0% Fald i aktiekurs
Royal Dutch Shell PLC Ro.. 73,23 0,1% Stigning i aktiekurs
Total S.A. 58,47 -0,7% Fald i aktiekurs
Glencore PLC ORD USD0.01 390,67 -2,9% Fald i aktiekurs
Royal Dutch Shella 28,92 0,4% Stigning i aktiekurs
Total S.A. Total ORD SHS 47,45 -1,0% Fald i aktiekurs
Lazard Ltd Lazard Ltd Cl.. 58,95 0,0% Stigning i aktiekurs
Royal Dutch Shellb 29,81 0,5% Stigning i aktiekurs
Siemens AG 148,00 1,0% Stigning i aktiekurs

Køb- og salgsanbefalinger

  • Trend
  • Pengemaskinen

Copyright Euroinvestor A/S 2018  Disclaimer Privatlivspolitik
Aktieinformation leveres af Interactive Data.
Data er forsinket 15-20 minutter iht. de enkelte børsers regler om videredistribution.
 
23. januar 2018 22:56:31
(UTC+01:00) Brussels, Copenhagen, Madrid, Paris
Version: LiveBranchBuild_20180122.2 - EUROWEB6 - 2018-01-23 22:56:31 - 2018-01-23 22:56:31 - 1 - Website: OKAY