BHP takeover of RIO

[M34N]

Why aren't the American investors interested?Rio shares lost 3.4% on Friday and BHP 1.35%.

Rio was up over 8% in New York and 6.5% in London trading Friday. You are right about BHP shares being down though, which is no surprise. BHP will most likely bounce back sometime this week though, it was up strongly (over 5%) in London trading before it pulled back.

 

[DB008]

People are talking ab out BHP hitting $100 soon. Can't wait for that to happen.

 

[overule]

I am sure BHP will bounce back nicely in the long-term.

 

[sassa]

Rio was up over 8% in New York and 6.5% in London trading Friday. You are right about BHP shares being down though, which is no surprise. BHP will most likely bounce back sometime this week though, it was up strongly (over 5%) in London trading before it pulled back.

Hi M34N.We must have conflicting information.

http://www.nyse.com/about/listed/quickquote.html?ticker=rio tinto

 

[overule]

Hi M34N.We must have conflicting information.

http://www.nyse.com/about/listed/quickquote.html?ticker=rio tinto

That's not RIO TINTO..

http://www.nyse.com/about/listed/lcddata.html?ticker=RTP

 

[M34N]

Hi M34N.We must have conflicting information.

http://www.nyse.com/about/listed/quickquote.html?ticker=rio tinto

RIO on the NYSE is Brazillian company Companhia Vale do Rio Doce (CVRD).

Rio Tinto trades as RTP on the NYSE.

 

[Kauri]

and I am told that a rumour is picking up that RIO may counter-bid for BHP...
Cheers
.........Kauri

 

[mayk]

http://www.bloomberg.com/apps/news?pid=20601081&sid=a1Cc_z.oz13w&refer=australia

 

[Moneybags]

and I am told that a rumour is picking up that RIO may counter-bid for BHP...
Cheers
.........Kauri

Now that would be something. Sure would be nice to see my BHP shares soar like RIO shares have done recently.

MB

 

[angry-beaver]

I see our freind "Twiggy" is trying to upset the apple cart with the opening of the BHP and Rio's rail lines should the merger be approved.
Surprised to see that this hasnt cause some changes to Rio's share price?
Opening the lines to 3rd parties is an extreem risk for BHP and Rio

Rio and BHP took the risk years ago to instal these lines at their own cost and paying royalties to the relevent parties to cross there land.
They are in the mist of expanding the mines to meet demand which in turn will increase rail use.
Throwing anyone else on the line serverly puts this at risk and planning trains currently is hard enough within one company.

Hope "Twiggy" is going to open his lines up for everyone as well?

 

[vishalt]

Hope "Twiggy" is going to open his lines up for everyone as well?

That sounds like a really bad thing to me. These are BHP and Rio's on lines, I don't understand how Fortescue gets access to them. This means slower deliveries of iron ore, hence slower exports because theres going to be Fortescue's own shipments hogging the line.

Opening it up to everyone else lol.. even worse

 

[vishalt]

BHP raises RIO bid to 3.4 shares

BHP Raises Takeover for Rio Tinto, Offers 3.4 Shares (Update1)

By Rebecca Keenan

Feb. 6 (Bloomberg) -- BHP Billiton Ltd., the world's biggest mining company, made a sweetened $147.4 billion takeover bid for Rio Tinto Group after its London-based competitor refused to enter merger negotiations.

BHP offered 3.4 shares for each share of Rio, the Melbourne- based company said today in a statement to the Australian Stock Exchange. BHP's three-for-one all-stock proposal made on Nov. 8 was rejected by Rio as undervaluing its mines and growth prospects.

Chief Executive Officer Marius Kloppers has pledged to generate $3.7 billion in cost savings and revenue gains by buying the world's third-largest mining company.

``The synergy from the cost and revenue side would be enormous,'' said Simon Bonouvrie at Platypus Asset Management, which manages A$1.4 billion ($1.2 billion) including both stocks, in Sydney. ``It would bring new production quicker and benefit both sets of shareholders.''

Rio Tinto's American depositary receipts gained 6.3 percent to $450 in New York.

Rio will surge on this!

 

[agro]

Re: BHP RAISES RIO BID TO 3.4/SHARE

Fingers Crossed They Accept the revised offer

they won Western Mining and i am tipping they repeat their success..

the chinese who took a stake were doing it purly for investment purposes (not to block and bids)..

 

[The Mint Man]

Re: BHP raises RIO bid to 3.4 shares

Rio will surge on this!

when:

 

[Nyden]

Re: BHP raises RIO bid to 3.4 shares

If RIO opens at 120 I might buy a heap; 3.4 * 39 is 132! I can't be bothered reading the announcement though; is the offer actually formal yet? Hostile, or accepted, or ...

 

[The Mint Man]

Re: BHP raises RIO bid to 3.4 shares

Surely they will go to around $132..... $120 would be quite a drop considering there is a company (BHP) saying that they will pay $132

 

[Nyden]

Re: BHP raises RIO bid to 3.4 shares

Surely they will go to around $132..... $120 would be quite a drop considering there is a company (BHP) saying that they will pay $132

Yes, but shhh - I wanted a sure-thing bargain.

No, they won't be paying 132, they'll be offering shares :
If BHP tanks ... so will Rio

 

[The Mint Man]

Re: BHP raises RIO bid to 3.4 shares

Gees, always gotta watch what you say around here. hahaha

 

[Nyden]

Re: BHP raises RIO bid to 3.4 shares

Gees, always gotta watch what you say around here. hahaha

Indicative price of 37 for BHP .. that means an open of 125 for Rio, or they're over-priced :

Edit; wouldn't call a .7% increase in Rio a surge :

 

[Awesomandy]

Re: BHP raises RIO bid to 3.4 shares

It looks like, instead of RIO's sp going up to 3.4x of BHP, we have BHP's sp dropping to match 29.41% of RIO's sp.