BHP Billiton confirmed that it has Began to Purchase Rio Tinto Formally

Latest news said that last night, the biggest mining company BHP Billiton has conformed to the public that it was began to purchase Rio Tinto formally. BHP said it is confident to this purchase, he also suggested that Rio Tinto hasn’t hold any discussion if it will receive this purchase. BHP has proposed an “all—stock” purchase offer, that is three BHP share exchange one Rio share. BHP said, this exchange ratio means that Rio Tinto stock will receive about 28% premium. If this purchase succeed, the company is expected to get a 30 billion $ share buyback.