China Aluminum Industry Company (the "aluminum") and the United States Aluminum Company ( "Alcoa") joint acquisition of the extension part of the shares of the action has not affected the mining giant BHP Billiton on the extension of the acquisition plan. In the formal closing of the acquisition, BHP Billiton improved extension of the acquisition bid, Rio Tinto issued to the value of 173.6 billion US dollars a formal offer. And the extension of the offer was again rejected by the board, analysts have pointed out that, BHP Billiton may eventually seek to direct extension of the support of shareholders, and has become the major shareholder Rio Tinto and Alcoa Aluminum in There has been no action .

    The day before yesterday, the British paper "The Times" reported that the aluminum is seeking the approval of the regulatory authorities in Australia, Rio Tinto will acquire the rights to 19.9%, however, this news has not been affirmed in aluminum.

     Prices still rejected

    According to BHP Billiton's formal acquisition programme, including the Australian company Rio Tinto (RioTintoLimited) and the British company Rio Tinto (RioTintoPlc), the tender offer for all shares. Programme is 3.4 shares BHP Billiton shares convertible shares Rio Tinto shares.

     BHP pointed out that the acquisition, Rio Tinto shareholders will hold approximately 44% of the shares of the combined company, with BHP Billiton November 1, 2007 to the proposed acquisition of the proposed extension before the two companies calculated on the basis of the market value of Rio Tinto Compared shareholding, Rio Tinto shareholders holding about 36% of the shares of the combined company, with a clear increase, when the company first proposed the three-for-one stock shares of all stock offer. In addition, the formal offer and the proposed merger of the former compared with Rio Tinto shares, a premium 45%.

     BHP Billiton said it has been a commitment to the bank 55 billion US dollars of the financing arrangements. And the need to offer more than 50 per cent respectively of Rio Tinto Australia Limited and more than 50% of Rio Tinto Ltd. British public shareholders agreed to accept.

     But BHP to make a formal offer on the second day, Rio Tinto have rejected BHP 147.4 billion US dollars bid, said Rio Tinto Group Board of Directors determines that the conditional offer serious underestimation of the Rio Tinto value, not consistent with the best interests of shareholders, board of directors unanimously rejected the BHP of the offer.

     "BHP Billiton Despite improved Price, but not yet reflected efforts Extension Group of quality assets and development prospects of the value of implied. Unless they receive a fully reflect the value of the extension of the offer, our plan has not changed, also will not change. Rio Tinto Group will continue its own development strategy, through the operation and development of large-scale, long life and low cost of assets for all shareholders to create the most handsome returns. "Rio Tinto chairman Paul Skinner (PaulSkinner).

     BHP Billiton chairman Andre (DonArgus): "We firmly believe that the tender offer announced today the conditions with a strong comparative advantage, that we have the ability of the combined company after the firm belief, this is why we directly to the Rio Tinto shareholders this offer a reason. "

    Although formal bid by Rio Tinto board again rejected, BHP Billiton has pointed out that the offer is still effective for Rio Tinto shareholders.

    It is understood that BHP Billiton has been seeking to contact the extension of the Board of Trustees, but can not reach the target, BHP Billiton may also directly to the extension of the offer to shareholders, while Rio Tinto shareholders may also be forced to return to the Board of Trustees the negotiating table. At present, BHP Billiton and Rio Tinto have a lot of duplication of shareholders, according to estimates, the existing shareholders of the combined company will hold about 56% of the shares.

     BHP Billiton CEO of Ruisi (MariusKloppers) said that if Rio Tinto refused to BHP consultations, BHP Billiton will continue to put forward a hostile takeover offer, this is the BHP Billiton is the first time only time to the Board of Trustees of the proposed acquisition of the proposed extension. However, if the extension can be of the board's support, complex acquisition process is expected to be simplified, and contributes to regulatory approval, approval usually takes nine months to one year.

     "The combined company will have the opportunity to use quantifiable synergies and revenue, 3.7 billion US dollars annually produced by the benefits, in addition to shareholders, any other parties do not enjoy such benefits." High Ruisi, 3.4 Unit shares against a successful completion of the tender offer within a year after the BHP Billiton also proposed to buy back up to the amount of 30 billion US dollars in stock.

     In aluminum by not moving troops

     In BHP Billiton announced the acquisition of Rio Tinto plans offer on the day, early step in joint acquisition of London-listed company Rio Tinto 12% stake in the aluminum and Alcoa were said not to BHP Billiton's offer comments Alcoa also pointed out that this is for analysis.

      Aluminum in on the 1st of this month jointly announced Alcoa shares to 14 billion US dollars London-listed Rio Tinto 12% of the rights and interests of the company, if the extension of the listing of shares in Australia account, the two companies had acquired the stake of Rio Tinto equity share of 9%.

    It is worth noting that, the acquisition of 12% stake in Rio Tinto, the aluminum has voluntarily to the Australian foreign investment to the Audit Committee of the investment plan. Under Australian law, a foreign takeovers Australia more than 15 percent of the company before the shares need to be approved by the Government, if the shares held by foreign investors accounted for more than 19.9 percent, we must also notice the fundamental intent.

     But the general manager of Al-XIAO at a press conference in Sydney said that it was also not overweight Rio Tinto shares scheme. Asked in aluminum and will consider its holdings to resell as BHP such third parties, XIAO-replied that the possibility exists. "If we earn the money, we are creating value of the investment, while Alcoa Australia managing director of business Alankelan Berg (AlanCransberg) also recognized that, it would be neither possible nor shares changed hands."

     XIAO-with the meeting is held, Australia Resources and Energy Minister MartinFerguson disclosed that both sides on the extension of the acquisition of aluminium British equity of the listed companies were discussed. Ferguson said, the Government welcomes foreign investment in Australian businesses, but the Government will be in the national interest point of view of the extension of aluminum investment.

      Aluminum for the acquisition of Rio Tinto shares ShiningProspectPte company issued a statement that the company and the Aluminum and Alcoa will pay close attention to BHP extension of the tender offer on the progress of the situation, in particular Rio Tinto, the response to the Board of Trustees.

      The day before yesterday, the British paper "The Times" reported that the aluminum is seeking the approval of the regulatory authorities in Australia, Rio Tinto will acquire the rights to 19.9%, however, this news has not been affirmed in aluminum.

      Joint metal analyst pointed out that the current stalemate situation is likely to continue for a considerable length of time, and the involvement of aluminum in what now is not clear purpose, it is possible to access is part of BHP Billiton and Rio Tinto if successful merger and to the transfer of assets. Because BHP Billiton said that if the extension of the successful acquisition, the company will continue to implement the arrangements for the extension of the asset sale plan.

     For BHP Billiton's acquisition of Rio Tinto, the largest opposition or iron and steel enterprises. European steel maker yesterday said it would oppose BHP attempt to acquire Rio Tinto, said the European Commission has been drafted competition department intends to submit a preliminary document listed above the European steel maker on the trading concern, once BHP successful acquisition of Rio Tinto, 80 per cent of the world seaborne trade in iron ore will be two instead of three the company's control, which will affect the price of iron ore. The Union also said it has with the European Commission met with a working group on BHP Billiton and Rio Tinto possible problems caused by the merger.

     Earlier, China and Japan Iron and Steel Company has been BHP Billiton's acquisition of protest, BHP Billiton sales of the world's iron ore about 15 percent, and Rio Tinto 24 per cent, which will enable the new company after the merger market share reached 39%.