Glencore IPO draws big investors

04/05/11 18:23 CET

corporate

| |

Top commodity trader Glencore is looking to a strong debut for this month’s initial public offering of shares planning to raise $11 billion (7.4 billion euros).

The listing will give Glencore cash for acquisitions amid a boom in commodity prices, but will also push it into the public eye after 37 years as a discreet private company.

Major investors have already committed to buying over thirty percent of the shares.

Abu Dhabi’s IPIC Aabar will be the largest cornerstone investor, committing $850 million (570 million euros) to the IPO. Singapore has agreed to invest $400 million (268 million euros) and BlackRock $360 million (241 million euros).

The world’s largest diversified commodities trader set a 480 to 580 pence per share price range for the London IPO.

Glencore is expected to be fast-tracked into the FTSE 100 bluechip index at close of business on the first day of trading, given its size and share of the FTSE all-share index.

More about: Agricultural raw materials market, Markets, United Kingdom

| |

JavaScript is required in order to view this article’s accompanying video

Haneke scoops Cannes Palme d'Or

Austrian director Michael Haneke has won the Cannes film festival’s top prize. He scooped the Palme d’Or for his film “Love” – the tale of an elderly couple facing the inescapable, yet…