Glencore share price slips back while reports suggest it held a secret meeting with investors

Jessica Morris
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Glencore has struggled amid the copper price rout (Source: Getty)

Embattled Glencore reportedly held a secret meeting with an influential investor trade body yesterday, over the commodities miner and trader's £1.6bn share placing earlier this month.

A meeting took place between the Investment Association - whose members manage £5.5 trillion of client assets - and John Burton, Glencore's company secretary, according to Sky News.

The summit focused on concerns that shareholder pre-emption rights, which give existing shareholders the first refusal on any new share issue, were not applied to the share placing.

Read more: Glencore’s equity placing attacked for ignoring shareholders’ rights

The Investment Association and the National Association of Pension Funds previously issued a statement saying: "this sets a very damaging precedent for market practices."

Glencore's shares closed down 30 per cent yesterday over fears about how its debt-heavy balance sheet will hold up if copper prices fail to recover. But the shares sustained a relief rally this morning, popping more than nine per cent at the open, however they've since fallen back to 6.5 per cent.

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