JUST a few months ago it would have taken more than $200 billion to buy Rio Tinto. Now our second biggest resources group – and all its resources – could be picked up for about $40 billion.<\/p>\n
Plus of course, the necessary takeover premium. Although I suggest what would now be ‘necessary’ is something less than the incumbent board thought was required from BHP Billition.<\/p>\n
Especially if any future buyer was paying cash. Like for instance a buyer with the word ‘China’ in its name.<\/p>\n
Now I’m not suggesting that is imminent. Although the Chinese Chinalco company must be seriously considering its options. <\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"
Miyoung Kim and Joseph Chaney report in Reuters, via forexpros.com: A collapse in commodity prices due to the global financial turmoil is a blessing for Asia, whose huge appetite for natural resources has prompted cash-rich firms to go bargain hunting. Analysts say Asia’s hunger for resource assets, despite the financial crisis, shows firms are prepared […]<\/p>\n","protected":false},"author":35,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":"","_links_to":"","_links_to_target":""},"categories":[116,2],"tags":[463,4312,5179],"class_list":["post-29566","post","type-post","status-publish","format-standard","hentry","category-world","category-economy","tag-coal","tag-fuel-prices","tag-gas-price","et-doesnt-have-format-content","et_post_format-et-post-format-standard"],"yoast_head":"\n
Asia Seeks Resources Bargains As Prices Slump<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n