BHP Billiton could sell $52.8b of assets if Rio marriage got approval

BHP Billiton could sell over $52.8 billion worth of assets if its hostile bid for Rio Tinto Plc approved, said the company’s chief executive officer Marius Kloppers. Kloppers said smaller or non-core assets such as aluminium, copper and ferrous metals may be sold, as reported by Britain's Financial Times. “We’ve got a critical assets threshold on things such as size and resource life. And when we put the two companies together, the threshold will lift. ” “but I wouldn’t be surprised if we continue our assets at the same levels as before. ” said the CEO. The proposed merger could create a combined company with a market capitalization of $360 billion. According to Financial Times, when BHP merged with South African group Billiton in 2001, about 15 per cent of its combined assets were sold. Kloppers is confident that European Union’s competition regulators will approve the proposal in the last quarter of this year. COPYRIGHT All rights reserved. The copying, republication or redistribution of WAM News Content, including by framing or similar means, is expressly prohibited without the prior written consent of WAM.