March 6 (Bloomberg) -- Vedanta Resources Plc rose to the highest level in two weeks in London after hiring former Rio Tinto Group Chief Executive Officer Tom Albanese as the India-focused metal and oil producer seeks a global presence.
Vedanta advanced as much as 4.4 percent to 895 pence, the highest since Feb. 19. Albanese, 56, head of the second-biggest mine operator from 2007 to 2013, was among chiefs who quit after writing down assets bought during a commodity-price surge. Sales at Rio grew from $29.7 billion in 2007 to $51 billion in 2012.
Rio Tinto paid $38 billion to buy aluminum producer Alcan Inc. in 2007, an acquisition that soured when metal prices plunged during the global financial crisis. Albanese resigned after Rio decided to write down $14 billion from its assets.
“Albanese is a very experienced mining executive with a long track record in the industry,” Paul Gait, a mining analyst at Sanford C. Bernstein Ltd., said by phone. “This kind of experience is an incredible value especially for a company trying to establish itself a global significance.”
Albanese will take up the new position on April 1, succeeding M.S. Mehta, Vedanta said today in a statement.
Vedanta advanced 3 percent to 883 pence by 10:16 a.m. in London, valuing it at 2.36 billion pounds ($3.95 billion).
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