Mining heavyweights Rio Tinto and Glencore have confirmed they are back in early-stage talks over a deal that could see Rio Tinto acquire “some or all” of Glencore, a move that would create the world’s largest miner with a combined market value close to $207bn.
The companies stressed that talks are preliminary, with no agreement on price, structure, management or which assets might be included, and warned there is no certainty a deal will be struck.
This is the second time in just over a year the pair have explored a tie-up. Glencore approached Rio Tinto in late 2024, but those talks failed to gain traction.
The renewed interest comes as miners race to lock in copper and other metals needed for electrification, renewable energy projects and data-heavy infrastructure. That push has driven expansion plans and a string of takeover attempts across the sector, reshaping supply chains that feed everything from power grids to shipyards and offshore projects.
Under UK takeover rules, Rio Tinto has until February 5 to either make a formal offer or walk away.
Investors were split on the news. Glencore’s US-listed shares jumped around 6%, while Rio Tinto’s Australian-listed stock slid more than 6%, reflecting concern over the cost, complexity and execution risk of a deal of this size.
Analysts said the industrial logic is there, but the route will be complicated. “The structure of a possible merger between these two companies is unclear and would likely be complex, but we do believe there is a path to significant value creation for both,” one note said.
Rio Tinto, the world’s largest iron ore producer, carries a market capitalisation of about $142bn. Glencore, a major base metals producer and one of the world’s biggest commodity traders, is valued at roughly $65bn.
Founded in 1873, Rio Tinto employs around 60,000 people across 35 countries. Glencore, which began life in the 1970s as a trading house, operates in more than 30 countries with a workforce of about 150,000 employees and contractors.
“The parties’ current expectation is that any merger transaction would be effected through the acquisition of Glencore by Rio Tinto by way of a court-sanctioned scheme of arrangement,” the companies said in a statement. “There can be no certainty that an offer will be made or as to the terms of any such offer, should one be made.”
The talks follow last year’s $53bn merger between Anglo American and Canada’s Teck, which created another copper-heavy mining giant. Anglo had earlier fended off a £39bn approach from BHP, while Teck rejected a £16.6bn bid from Glencore in 2023.
On Friday, Glencore’s London-listed shares surged as much as 10% after confirmation that a potential takeover by Rio Tinto was back on the table, underlining just how much weight the market is putting on the next phase of consolidation in global mining.
