OldMiner

BHP Billiton /Rio Tinto Merger: Is It Good for Shareholders?

With Chinalco telegraphing its next bite of Rio Tinto (with its lacky, Alcoa), the most logical move in this chess game is for BHP to buy Alcoa and edge Chinalco out of this cosy relationship. Once BHP is the majority stakeholder in the global aluminum market, Chinalco will be forced to partner with BHP to acquire and divide Rio to the benefit of both.