Arab Today, arab today glencore aims for 11 bln in largest ipo this year
Last Updated : GMT 21:13:05
Arab Today, arab today
Arab Today, arab today

Glencore aims for $11 bln in largest IPO this year

Arab Today, arab today

Arab Today, arab today Glencore aims for $11 bln in largest IPO this year

HONG KONG - AFP

Commodities giant Glencore plans to raise up to $11 billion from listings in London and Hong Kong, in what is set to be the world's biggest initial public offering this year, a report said Thursday. The move comes as prices for some commodities hit record highs and makes Glencore, the world's biggest commodities trader by revenue, the latest to seek a foothold in Hong Kong's share markets to tap rich Chinese investors. Glencore, which is based in Baar, Switzerland, will list about 20 percent of its shares in the offering, and expects to sell 2.5-10 percent to Hong Kong retail investors, according to Dow Jones Newswires, quoting a term sheet. The company is valued at $60 billion. It will use around $5 billion of the proceeds for capital expenditure over the next three years and around $2.2 billion to increase its stake in Kazakh mining firm Kazzinc Ltd and reducing debt. Glencore deals in commodities including oil, metals, minerals and agricultural products and employs almost 55,000 people in more than 40 countries. Founded in 1974 and initially focused on marketing commodities sourced from third parties, the firm has turned into the leading supplier by buying and developing mining, smelting, refining and processing production assets. Among its major investments is a 34.5 percent stake in Switzerland-based mining giant Xstrata. The IPO comes as commodity prices sit at highs amid huge demand from Asia, particularly China and India, for resources to power their red-hot economies. Oil is at two-and-a-half-year peaks, while the prices for iron, copper and aluminium are also riding high. The listing in London, its primary listing venue, is expected to raise up to $8.8 billion with $2.2 billion from its Hong Kong listing. However there is a greenshoe option which will allow the firm to raise up to $12.1 billion in the case of strong demand, through an increase in the size of the offering by 10 percent. Glencore will set an indicative price range for the shares around May 4. Hong Kong stock exchange declined comment. The firm is expected to announce details of the listing later Thursday. The IPO would be the world's largest this year, doubling the $5.5 billion listing in Singapore of Hong Kong billionaire Li Ka-shing's Hutchison Port Holdings Trust last month. However, it will be much smaller than the $22.1 billion raised by Agricultural Bank of China last year in a dual listing in Hong Kong and Shanghai. Glencore posted a 40.7 percent jump in 2010 net profit to $3.8 billion, reflecting strong demand for metals and minerals. Revenues were up 36.3 percent at $145 billion, said the group.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today glencore aims for 11 bln in largest ipo this year Arab Today, arab today glencore aims for 11 bln in largest ipo this year

 



Arab Today, arab today
Arab Today, arab today Tourism shows signs of recovery

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today Top Yemen commander killed

GMT 09:55 2017 Wednesday ,22 February

Top Yemen commander killed
Arab Today, arab today Media host Mona Iraqi stresses her show's success

GMT 15:32 2017 Wednesday ,22 February

Media host Mona Iraqi stresses her show's success

GMT 20:59 2017 Tuesday ,21 February

Economy good, but homes in German cities overpriced

GMT 05:29 2017 Tuesday ,21 February

Sovereign funds pulled $38bn from markets in 2016

GMT 05:15 2017 Tuesday ,21 February

Gold firms as markets await Trump tax plans

GMT 04:58 2017 Tuesday ,21 February

EU, IMF in ‘common position’ on Greece crisis

GMT 14:57 2017 Monday ,20 February

A giant initial public offering on track

GMT 14:50 2017 Monday ,20 February

Energy Market Research
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today To hold social dialogue over secondary school

GMT 07:43 2017 Wednesday ,22 February

To hold social dialogue over secondary school
Arab Today, arab today 63-Year-Old Woman Delivers Baby

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Competes Sweden and Germans by S90

GMT 22:36 2017 Thursday ,16 February

Competes Sweden and Germans by S90
Arab Today, arab today Janat pleased for issuing 'Good Morning'

GMT 06:41 2017 Monday ,20 February

Janat pleased for issuing 'Good Morning'
Arab Today, arab today Small ponds have outsized impact

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 06:34 2017 Sunday ,19 February

Ahmed Fahmy stresses he did not ignore singing

GMT 06:50 2017 Wednesday ,15 February

Tragic fluctuations of Bakhtiari's life revealed

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection

GMT 14:06 2017 Friday ,17 February

London to tax old cars

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 05:15 2017 Tuesday ,21 February

Omega 3 can reduce asthma cases

GMT 19:16 2017 Friday ,17 February

Aziz House ready to host the tourists

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:39 2017 Monday ,20 February

newest smartphone another winner for Huawei

GMT 19:10 2017 Friday ,17 February

Hats, scarves add beauty to women
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday