GLENCORE shares closed flat yesterday after the launch of conditional trading in the commodities trader. It now has a value of $61bn (£37bn) after raising $10bn in the second-biggest float in London’s history.
The company’s owners had hoped for a price rise of five to ten per cent on Glencore’s first day of trading, but despite spiking to 553p, it closed at its initial price of 530p. Dealogic said the float could be London’s biggest ever if investors take up an optional over-allotment of $1bn. That would beat Rosneft’s $10.7bn float in 2006.
Unconditional trading in its shares starts next Tuesday in London and Wednesday in Hong Kong. It could then see its price rise on demand from index-tracker funds, as it is expected to enter straight into the FTSE 100.