Glencore Xstrata strengthens its grip on Lonmin with board hires

 
Suzie Neuwirth
FTSE 250-listed platinum miner Lonmin yesterday said it has appointed two non-executive directors to join its board, who both come from its largest shareholder Glencore Xstrata.

Gary Nagle, chief executive of newly-merged miner trader Glencore Xstrata’s alloys division and Paul Smith, head of strategy and communications at the FTSE 100-listed firm, will join Lonmin with immediate effect.

“It is surprising that board members from Glencore Xstrata had not appointed directors previously, although no doubt the company has been busy progressing its merger with Xstrata,” said broker Investec. “Xstrata had previously wanted to consolidate their ferrochrome, platinum and vanadium assets into Lonmin, [so now] such a plan may re-emerge.”