As peer the reports, Glencore has decided to have talks with Qatar to retrieve its Å50billion merger with Xstrata. Qatar Holdings, the state investment fund which owns 11 per cent of Xstrata, threatened to veto the deal last week unless Glencore improved its bid.
Glencore, which holds a 34 per cent stake in Xstrata, has offered 2.8 shares for every one of Xstrata’s. Qatar wants Glencore to raise the offer to 3.25 to one.
Glasenberg is understood to be determined not to abandon the deal and may change its structure to a traditional takeover which requires approval from 50 per cent of investors rather than the 75 per cent needed under the ‘scheme of arrangement’ currently proposed.
Glencore, which holds a 34 per cent stake in Xstrata, has offered 2.8 shares for every one of Xstrata’s. Qatar wants Glencore to raise the offer to 3.25 to one.
Glasenberg is understood to be determined not to abandon the deal and may change its structure to a traditional takeover which requires approval from 50 per cent of investors rather than the 75 per cent needed under the ‘scheme of arrangement’ currently proposed.