London, February 3, 2026, 07:59 GMT — Premarket
- Glencore is nearing a deal to bring Citigroup on board for discussions related to Rio Tinto, sources reveal.
- The UK takeover rules set a “put up or shut up” deadline for Feb. 5.
- Rio Tinto is set to release its annual results on Feb. 19.
Shares in Rio Tinto looked set for another volatile session in London on Tuesday after reports surfaced that Glencore is nearing a deal to appoint Citigroup as its lead adviser for merger negotiations. The deadline for a takeover is Feb. 5. On Monday, Rio Tinto closed up 0.95% at 6,802 pence. (Reuters)
The reason it matters now is straightforward: as the deadline looms, the stock increasingly reflects the deal’s mechanics instead of daily fundamentals. Investors are focused on signs that talks might solidify into a firm offer or stall, pushing for an extension.
On Jan. 8, Rio Tinto revealed it held initial talks with Glencore over a potential deal that “could include an all-share merger” — meaning payment would come in stock rather than cash. The company noted that if the deal moves forward, it might be done through a court-approved “scheme of arrangement,” a UK mechanism requiring shareholder approval and court clearance. (Rio Tinto)
The deadline falls under the Takeover Code’s “put up or shut up” rule: either declare a firm intention to bid or step back. The UK Takeover Panel may grant an extension, and given the size of the potential deal, markets have been expecting that possibility.
Behind the scenes, the list of advisers is expanding. Citi, which previously teamed up with Glencore on its 2011 IPO and, more recently, its acquisition of Teck Resources’ coal assets, is involved again, according to the Reuters report. For Rio, the same report notes JPMorgan, Evercore, and Macquarie have been brought on board.
The market backdrop hasn’t been kind. Commodities plunged on Monday, with London Metal Exchange copper sliding 4% and oil dropping over 4%. The move came as the dollar gained strength following Donald Trump’s pick of Kevin Warsh as the next Federal Reserve chair. “A stronger U.S. dollar is also adding pressure on precious metals and other commodities, including oil and base metals,” said Vivek Dhar, commodities strategist at Commonwealth Bank of Australia. (Reuters)
The FTSE 100 hit a record high on Monday, driven by gains in banks and defensive stocks that balanced out losses in commodity-linked shares. Investors are now focused on the Bank of England’s decision due Thursday. Metals took a hit, dragging miners down as one of the more vulnerable sectors. (Reuters)
As the takeover drags on, filings picked up. FMR LLC and FIL Limited filed a Form 8.3, revealing purchases of Rio Tinto shares and ADRs, among other transactions. This comes under the disclosure rules requiring anyone holding 1% or more to report their positions and trades during an offer period. (Investegate)
Rio Tinto released an update on its voting rights and issued capital in a separate filing, a standard move aimed at clarifying disclosure thresholds for investors. The company reported having 1,256,023,083 ordinary shares outstanding as of Jan. 30. (TradingView)
But the deal remains a double-edged sword. When talks were announced in early January, Hugh Dive, chief investment officer at Atlas Funds Management, commented: “The record is dreadful for the big majors making acquisitions or even mergers.” (Reuters)
The saga has heightened focus on competitors, particularly BHP, now the biggest miner by market cap. “The mining space is consolidating and the big firms are being forced to do corporate action to create value,” Mark Kelly, CEO at MKI Global, told Reuters in an analysis. (Reuters)
Another key date is Feb. 19, when Rio Tinto will release its 2025 annual results. Simon Trott and Peter Cunningham will lead the presentation. Investors want to hear about guidance, costs, dividends—and any update on talks with Glencore. (Rio Tinto)
