RIO and BHP

[Rafa]

yeah i don't think the ACCC will come into this...
ACCC only protects australian consumers.


the only test this will have to pass is the FIRB...
as BHP is considered Australian, it buying RIO will not be a problem what so ever!

this is unlike xstrata bids, its buys had to pass scrutiny under FIRB and national interest grounds.

 

[Sean K]

I actually think something's going on here. Maybe they're building stakes in each other at the moment?

 

[UPKA]

Looks like a sharp drop in RIO now, wat i think is that BHP is opening up their wallet, and is looking to buy something in the market, can be anyone really, except everyone think its RIO.

 

[Rafa]

your right, something is up!
alas, i don't know what it is!

i hate things like this...
much prefer orderly, technical or fundametal based movements.

 

[falconx]

Seems RIO took a bit of a breather after hitting $99.50, maybe MBL pulled a few strings so it doesn't beat it to $100 lol ..
BHP at all time highs btw hope it can hold it for another two hours.

 

[Kauri]

Interesting volume for the day so far.... Rio and BHP charts are attached...

 

[Sean K]

Interesting volume for the day so far.... Rio and BHP charts are attached...

Volume seems to be more unusual on RIO longer term too.

 

[UPKA]

Looks like a day trader's heaven atm for RIO, there r more waves on RIO's sp than bondi!

 

[Rafa]

more like a nightmare...
that SP is moving in dollars every couple of minutes

 

[Ken]

Margin loans on these to at 70 and 24.

Very rewarding for some!

30% gains, on what you would say is a long term hold.

 

[Gundini]

I have witnessed a rare event with these two stocks...

Sooo volatile... I am scared to trade....

 

[telstrareg]

What a ride RIO was today! Climbed 13% from the open at it's peak. The major rise of the day was 6% in 5 minutes!

I'm guessing quite a few got burned trying to short sell after the 2pm peak thinking the market was done after 2pm peak failed to break the day's high.

 

[Ferret]

Here's another idea.

BHP spins off its petroleum division to help fund a takeover of RIO and then concentrate on mining. WPL teams with private equity to be the buyer.

Synergies all round!

Ferret

 

[falconx]

IMO BHP is considered undervalued by many and needs a lot of debt to avoid being taken out themselves.

 

[Sean K]

DJ BHP Billiton Not Commenting On Rio Tinto Takeover Speculation
06/09/2007 11:04AM AEST


MELBOURNE (Dow Jones)--BHP Billiton Ltd. (BHP.AU) Thursday declined to comment on market rumors that it may team up with Brazil's Cia. Vale do Rio Doce, or CVRD (RIO), to launch a takeover for mining rival Rio Tinto Ltd. (RTP).

"We don't comment on market rumors and speculation," a BHP spokeswoman said.

Traders have said a rumor is circulating that BHP and CVRD are planning a takeover of Rio to be followed by a break-up of the acquired company.

CVRD also declined to comment Wednesday on the market speculation.

Rio Tinto shares appear to be getting a boost from the rumor, however, and are trading up 1.7% at 0059 GMT in an Australian market that is down 0.9%.

 

[Ken]

BHP and RIO definitely the sole drivers of the All Ords at the moment.

Take away the resources stellar run, and the markets would be looking very unhealthy for OZ.

A fall in base metals, oil and gas prices, would send the All Ords below 6000 again.

Resources definitely been the pick of the bunch.


Australia's biggest miner has returned 40% in less than 10 months.

 

[YOUNG_TRADER]

What just happened??????????????????????

They're going nuts!!!!!!!!!!!!

Well it looks like BHP has made a move on RIO boys and girls, get set for some fireworks

BHP offered 3 BHP share for every 1 RIO share


http://c.moreover.com/click/here.pl?x1168415415&f=1774

http://c.moreover.com/click/here.pl?x1168418373&f=1774

 

[dutchie]

G'day Young Trader

Other way round was it not.

3 BHP shares for each RIO share

Cheers

Dutchie

 

[YOUNG_TRADER]

G'day Young Trader

Other way round was it not.

3 BHP shares for each RIO share

Cheers

Dutchie

Thanks mate, totally had a duhhh moment there, edited post

Cheers

 

[mlevit]

Is a second offer from BHP likely or not?

I'm thinking if there's a jump in RIO's shares tomorrow anywhere near what's happening in London now, I'll be selling out.