Commodities trader lining up banks with view to listing next spring, says newspaper
Glencore, the commodities trader, is considering a listing on the London Stock Exchange that could bring in $10 bn, according to a newspaper report.
The firm has brought in Credit Suisse, Citigroup and Morgan Stanley to help it prepare for a listing ‘as early as April’, states the UK’s Sunday Times.
Insiders say Glencore plans to sell around a fifth of its shares to give the trader funds to make acquisitions. The company would also seek a listing on the Hong Kong Stock Exchange, adds the report.
Glencore is one of the world’s largest privately held companies and a London listing would place it in the FTSE 100 index. Based in Baar, Switzerland, Glencore not only trades commodities but also owns mines and refining plants.
The firm also owns significant stakes in other commodities players, such as a third of Xstrata, another Switzerland-based mining company, and 9 percent of UC Rusal, the Russian aluminum firm.
Market commentators have highlighted Xstrata as one potential target for a newly capitalized Glencore.
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