Davis Will Be CEO of Merged Xstrata, Glencore, Sunday Times Says

Mick Davis, chief executive officer of Xstrata Plc (XTA), will head the company that would be created from the miner’s merger with Glencore International Plc (GLEN), the Sunday Times reported without citing anyone.

Davis has agreed to a share-based retention deal worth more than 10 million pounds ($15.8 million) to head the new company, according to the report. Ivan Glasenberg, CEO of commodities trader Glencore, will be deputy chief executive, according to the report. John Bond, Xstrata’s chairman, will lead the combined company’s board, it said.

Simon Buerk, a spokesman for Glencore, and a spokesman for Xstrata declined to comment on the report.

Glencore, which holds 34 percent of Zug, Switzerland-based Xstrata, made an approach regarding an all-share “merger of equals,” Xstrata said last week. An agreement to combine the companies will face months of scrutiny from antitrust regulators around the world, the Sunday Times report said.

To contact the reporter on this story: Jake Lloyd-Smith in Singapore at jlloydsmith@bloomberg.net

To contact the editor responsible for this story: Paul Tighe at ptighe@bloomberg.net