Find below the iron ore price table for November 7, 2013:
Some more news on FMG today with rumours of better terms on a large chunk of its debt from Bloomie:
Fortescue Metals Group Ltd. (FMG), Australia’s third-biggest iron ore exporter, lowered the rate on a $4.95 billion loan it’s seeking to refinance debt, according to a person with knowledge of the transaction.
The company will pay interest at 3.25 percentage points more than the London interbank offered rate, with a 1 percent floor on the lending benchmark, compared with 3.75 percentage points originally proposed, said the person, who asked not to be identified because terms aren’t set.
Fortescue is refinancing a $5 billion credit pact to cut interest payments as iron ore prices are forecast to drop.
Also, major shareholder Teck Resources is exiting:
Canada’s Teck Resources Ltd has sold its stake in Fortescue Metals Group Ltd for A$503-million ($479-million), cashing in on a doubling in the world o.4 iron ore miner’s value since June, a person familiar with the sale said.
The 3 per cent stake is being sold down through a book-build underwritten and run by CIMB, according to a term sheet seen by Reuters.
…Vancouver-based Teck, a large copper, zinc and metallurgical coal miner, has long said it wanted to expand into iron ore, and speculation mounted last year it might bid for Fortescue after accumulating a small stake in the miner in early 2012.
However Teck bid earlier this year for Rio Tinto’s 59 per cent stake in Iron Ore Company of Canada (IOC), which Rio wants to sell for $3.5 to $4-billion. It was among two remaining bidders, sources said in August.
