Glencore ditches plan to spin off coal business after shareholders object

  • 📰 ftenergy
  • ⏱ Reading Time:
  • 23 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 12%
  • Publisher: 63%

Business News News

Business Business Latest News,Business Business Headlines

Commodities trader and miner says investors in favour of retaining highly profitable but polluting division

Glencore has ditched a radical plan to spin off its coal business after shareholders objected, in one of the most striking examples of the shift in sentiment towards fossil fuels. The FTSE 100 company last year set out a plan to list its highly profitable but polluting coal business in New York, a move that chief executive Gary Nagle said at the time would benefit shareholders. However, on Wednesday Glencore said it would instead keep the business after a planned consultation with investors.

Glencore, which counts the Qatar Investment Authority and former chief executive Ivan Glasenberg among its largest investors, said it had canvassed the view of two-thirds of its shareholder base on the spin-off. Keeping coal puts Glencore at odds with the strategies pursued by some of its major rivals. Anglo American has exited from thermal coal but still produces steelmaking coal, while Rio Tinto has left the business completely.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 47. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Glencore Scraps Plan to Spin Off Its Coal BusinessGlencore has decided to retain its coal business following a consultation process with shareholders, who expressed a preference for keeping the unit intact.
Source: OilandEnergy - 🏆 34. / 68 Read more »