Glencore Considers $10 Billion Share Sale in Q2 2011

Strategic Insights -

Glencore International AG, the world's largest commodities trader, is considering a $10 billion share sale in the second quarter of 2011, according to Bloomberg News. The company would list its initial public offering in London and possibly Hong Kong, with banks such as Citigroup Inc. and Morgan Stanley assisting in the process. The share sale would be used to pay current investors, upgrade plants, and acquire assets. No decision has been made yet, and the offering size will depend on market conditions.

Key Takeaways:

  • Glencore International AG is considering a $10 billion share sale in the second quarter of 2011.
  • The company would list its initial public offering in London and possibly Hong Kong.
  • Banks such as Citigroup Inc. and Morgan Stanley are assisting in the process.
  • The share sale would be used to pay current investors, upgrade plants, and acquire assets.
  • No decision has been made yet, and the offering size will depend on market conditions.
  • The company would conduct its IPO in the second quarter of 2011, around April or May.
  • The share sale is subject to approval and would be conducted in accordance with Swiss and international regulations.

Statistics:

  • $10 billion: The estimated amount Glencore International AG plans to raise through the share sale.
  • Q2 2011: The second quarter of 2011, when Glencore is considering conducting the share sale.
  • London and Hong Kong: The possible locations for Glencore's initial public offering.
  • 2-3 banks: The number of banks assisting in the share sale process, including Citigroup Inc. and Morgan Stanley.
  • 2011: The year when Glencore is planning to conduct the share sale.

Sources:

  • Bloomberg News
  • Dow Jones Newswires
  • UNCITED: (http://www.bloomberg.com/news/2010-11-17/glencore-international-said-to-weigh-raising-10-billion-in-11-share-sale.html)