Glencore is under pressure to improve the terms of its $30bn offer for Xstrata after the latter proposed new compensation arrangements, and a leading shareholder came out against the deal.
Qatar Holding, which owns around 11% of Xstrata, said last night that Glencore should offer 3.25 of its shares for every Xstrata share, rather than the 2.8 tabled as part of the original deal. The intervention follows criticism of the offer from shareholders including Standard Life and Schroders' Richard Buxton. Plans to award Xstrata chief executive Mick Davis a multi-million pound compensation package not linked to performance have also come under fire. Glencore said this morning that it had received a proposal from the Xstrata board suggesting amendments to management incentive ...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
