Deals
Chinalco, Alcoa Buy $14 Billion Stake in Rio Tinto
This article is for subscribers only.
Aluminum Corp. of China and Alcoa Inc. bought a 7.2 billion-pound ($14 billion) stake in Rio Tinto Group to derail BHP Billiton Ltd.'s hostile bid for the world's third-largest mining company.
Rio surged 17 percent in London trading, the biggest advance since BHP's offer was unveiled on Nov. 8, after Chinalco, as the state-owned company is known, and Alcoa bought 9 percent of the dual-listed company. Chinalco, China's largest aluminum producer, and Alcoa, the No. 3 maker of the metal, said they don't plan to bid for the rest.