Daily Metal Market News & Metal Prices
 
Daily Metal Prices & Market News
Tuesday 02nd of December 2008
Wednesday, March 19, 2008

PWC predicts “record high” M&A activity will continue

PWC predicts “record high” M&A activity will continue

A report published this week by PricewaterhouseCoopers (PWC) suggests that mining merger and acquisition activity in 2008 could exceed 2007’s record of $158.9 billion.

The report asserts that consolidation in the industry is accelerating as economic growth in emerging markets fuels demand for resources and expansion by Russian and Chinese miners increases competition for assets.

The total value of mining deals by Russian and Chinese companies rose six-fold between 2005 and 2007, to $32.7 billion.

Takeovers included Chinalco’s acquisition of Peru Copper and Norilsk Nickel’s purchase of Canadian nickel miner, LionOre.

In 2007, the number of mergers and acquisitions in the mining sector rose 69% on the previous year and Tim Goldsmith, PWC’s head of global mining, describes the industry as “experiencing an unprecedented period of change driven by M&A activity that is running at record highs at all levels of the sector”.

Should BHP Billiton’s proposed takeover of Rio Tinto succeed it would create the world’s largest miner.

The deal was valued at $147.4 billion when it was launched in February of this year, making it the second-biggest acquisition ever proposed.

The credit squeeze seems to be having little impact on the consolidation of the mining sector, with the number of deals announced in the final quarter of 2007 more than doubling on the same period of 2006.

 

Add to Bookmarks:

ADD TO NETSCAPE     ADD TO DEL.ICIO.US     ADD TO DIGG     ADD TO FURL

ADD TO STUMBLEUPON     ADD TO YAHOO MYWEB     ADD TO GOOGLE     ADD TO SPURL


Related posts to: PWC predicts “record high” M&A activity will continue

Gold Book predicts volatile year ahead ...

IMF report predicts lower copper, aluminium prices by decade’s end ...

Tin, lead set new records ...

Base metals hit new record prices ...

Copper up again on reduced supplies ...

Latest Metals News:

Latest News  BHP Billiton scraps plans to acquire Rio

Latest News  Base metals see more price declines

Latest News  Copper prices fall on inventories, US housing data

Latest News  Copper, aluminium gain after early declines

Latest News  Gold drops half a dollar in New York

Latest News  Copper pares gains on US retail data

Latest News  Copper, aluminium inventories continue to climb

Latest News  Alcoa delays expansion at Wagerup and cuts production

Latest News  Platinum, palladium down on auto sector problems

Latest News  China’s stimulus plan sends most metals higher


Previous: « Normabec provides drilling result from Pitt Gold
Next: Metals prices lower on disappointment with Fed rate cut »

Visited 1091 times, 1 so far today

Gold ($/troy ounce):

Silver ($/troy ounce):

Platinum ($/troy ounce):