One of the least commented upon aspects of the recent ruminations around the Glencore bid for Rio Tinto was how ridiculously early it was in this bust cycle. From my perspective, not only was Ivan Glasenberg’s play premature, he has now succeeded in building in a take-over premium for failing iron ore firms. He’d have been far better off waiting another year or two, when RIO’s profits are sinking on an iron ore price around $60 with shareholders in a panic.
But he is not alone, it seems, in his peremptory move. Another mining titan is much the same, from The Australian:
MINING tycoon Mick Davis has entered the fray again, tabling a multi-billion dollar offer for a big chunk of Anglo American’s empire.
