China to join bidding for Rio Tinto with offer of 200 bln usd - report November 25, 2007: 06:37 AM EST
Nov. 25, 2007 (Thomson Financial delivered by Newstex) --
BEIJING (XFN-ASIA) - China will join the bidding for Rio Tinto with an initial offer of about 200 bln usd, Beijing-based weekly China Business reported over the weekend.
Citing unnamed sources familiar with the matter, the newspaper said China's newly launched sovereign wealth fund - China Investment Company - will join hands with Baosteel, Shougang group, Angang group and some other firms controlled by the central government to make the bid.
'China will start its move very soon,' a source was quoted as saying.
No further information was provided.
Rio Tinto earlier this month rejected a merger proposal from BHP Billiton (NYSE:BHP) which valued Rio Tinto at about 142 bln usd.
BHP Billiton's takeover bid for Rio Tinto aroused concerns among China steelmakers, which fear a combined entity will have too much power over iron ore pricing
ARH Price at posting:
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