Company Rio Tinto PLC will be the majority owner of the securities holding companies titanium RichardsBayMinerals (RBM) in South Africa. After the transaction, its share in the total capital of the African assets amounted to 74%. His part (which is more than a third of all stocks), RBM gives the owners corporation BHP Billiton Ltd — a powerful Anglo-Australian company, which owns a network of mining companies around the world.
«The share of BHPBilliton in RichardsBayMinerals, which we own, does not allow us to significantly influence the situation in decision-making in matters of management of the company. At the same time other companies operating in the titanium industry, we have no «- explained the reason for the sale of assets chairman of South African perspective representation of BHP, Ksoleni Mhvanezi. «Therefore, management of the corporation decided to withdraw from the titanium business, but the other projects in South Africa (which is the enterprise specializing in aluminum, coal and manganese), we will continue to develop," — he added.
For owners of Rio Tinto PLC buying a titanium company — acquisition of profitable, as demand for its products is growing, even during market stagnation. Moreover, after the organization of the transaction will double their share in RichardsBayMinerals, becoming the owner of a controlling stake. In addition, the investment portfolio of the corporation already has other assets associated with titanium. This company QIT Madagascar Minerals, Rio where participation is 80% and Quebec project Fer et Titane (full ownership).