Rio Tinto to Pay $1 Billion After Aborted Deal, Observer Says

June 7 (Bloomberg) -- Rio Tinto Group, the world’s third- largest mining company, has run up a bill of about $1 billion after it scrapped an investment from Aluminum Corp. of China in favor of a rights offer, the Observer reported. The mining company has racked up at least $300 million in adviser fees for the aborted deal as well as a $195 million break fee, the newspaper said. Rio will also have to pay more than $400 million to banks underwriting the offer.