Rio Tinto gets US Exon-Florio clearance for Alcan takeover bid

Singapore -- Anglo-Australian resources major Rio Tinto received US Exon-Florio clearance on October 5 for its proposed acquisition of Canadian aluminum producer Alcan by a subsidiary of Rio Tinto, the company said Monday. The Exon-Florio provision is implemented by the Committee on Foreign Investment in the United States, an inter-agency committee chaired by the treasury secretary. CFIUS reviews the country's investment policy to protect national security while maintaining credibility of the policy, and preserving confidence of foreign investors in the US and US investors abroad that they will not be subject to retaliatory discrimination. Receipt of Exon-Florio clearance and other regulatory clearances is a condition for Rio Tinto's offer to acquire the outstanding shares in Alcan. On July 12, Rio Tinto and Alcan announced an agreed bid worth $38.1 billion for the acquisition of Alcan. Last week, Rio Tinto said that the deal had been approved by competition authorities in the European Union and Australia.