Prospectus reveals Glencore’s hybrid trader-miner model May 4, 2011 THE full extent of Glencore’s reliance on its trading arm was laid bare yesterday, revealing that 44 per cent of its operating profits come from “marketing activities” as opposed to “industrial activities”. The figure is key because many conventional commodities players are hesitant to invest in trading, a people business, rather than a business based [...]
High prices have stirred trader’s geopolitical risks May 4, 2011 GLENCORE has warned investors that it faces significant geopolitical risks that could materially impact its business, with “increased resource nationalism” due to high commodity prices flagged as a possible flashpoint. The company has endured repeated attacks on its corporate governance standards in the run-up to its float, with allegations that one of its subsidiaries has [...]
Glencore releases flotation value May 4, 2011 Commodities trading giant Glencore has priced its public offering at between 480p and 580p per share, giving it a valuation nearer to $45bn than the $83bn some banking advisers had estimated. Glencore, the world’s largest commodities trader, has been a private firm since its creation 37 years ago. Last month, Glencore announced the appointment of [...]
Glencore in float price climbdown May 3, 2011 ADVISERS to Glencore are set to price the shares in the group’s flotation at the bottom of the expected range. As the banks working on the deal gauged investor support for what is the London market’s biggest ever flotation, it became clear last night that the shares will be priced at a range that will [...]
GLENCORE PRICED AT BOTTOM OF THE RANGE May 3, 2011 ADVISERS to Glencore are set to price the shares in the group’s flotation at the bottom of the expected range. As the banks working on the deal gauged investor support for what is the London market’s biggest ever flotation, it became clear that the shares will be priced at a range that will value Glencore [...]
WHAT THE OTHER PAPERS SAY THIS MORNING April 27, 2011 FINANCIAL TIMES GLENCORE POISED FOR TAX BILL SURGE Glencore is facing a big increase in its tax bill following its $60bn initial public offering after paying almost no corporate taxes on its trading business for years in spite of bumper profits, according to the banks underwriting its $60bn listing. The pre-IPO research, by banks including [...]
Glencore tries to tame its new outspoken chair April 26, 2011 COMMODITIES trader Glencore knew it would be entering an unpredictable world when it appointed 71-year-old former French legionnaire and mountain climber Simon Murray to be its chairman earlier this month ahead of its multi-billion pound flotation. Even so, Murray’s comments over the past few days have raised more hackles than the most sceptical City adviser [...]
Investors on tenterhooks to see Glencore’s Xstrata plan April 25, 2011 GLENCORE will be forced to disclose whether it has imminent plans to merge with FTSE 100 miner Xstrata in its float prospectus, due to be released in the first week of May. UK listing law requires companies to provide a summary of “all material contracts” with external parties that could substantially affect their financial position. That [...]
A string of strong earnings reports sends FTSE jumping April 20, 2011 COMMODITY stocks helped power the FTSE 100 index sharply higher yesterday, while earnings from Reckitt Benckiser and Home Retail, following US tech bellwether Intel, boosted risk appetite. The FTSE 100 closed up 125.39 points, or 2.1 per cent, at 6,022.26 following a 0.5 per cent gain on Tuesday. This wiped out Monday’s 2.1 per cent [...]
Xstrata’s Glencore directors not independent enough, says PIRC April 19, 2011 A SHAREHOLDER advisory group has recommended that its members vote against the re-election of three non-executive directors at Xstrata on the grounds that they are also nominees of Glencore. The Pensions Investment Research Consultants (PIRC) have said that Xstrata investors should oppose the re-appointment of Ivan Glasenberg, Aristotelis Mistakidis and Tor Peterson on the grounds [...]