BHP Billiton to Decide on Alcoa Bid Within 2 Weeks

SYDNEY, Australia -- Anglo-Australian mining giant BHP Billiton will decide whether to bid for U.S.-based aluminum giant Alcoa Inc. within two weeks, a newspaper reported Monday. Citing unidentified sources in the United States, The Australian newspaper reported that BHP had briefed investment bank Merrill Lynch on its interest in Pittsburgh-based Alcoa. The newspaper said speculation increased over the weekend that Melbourne-based BHP Billiton could offer around US$55 (euro40) a share for Alcoa, which put the total price around US$50 billion (euro36.3 billion). Both companies declined to comment. Alcoa, a leading producer of aluminum products, withdrew its US$28 billion (euro20.32 billion) hostile takeover bid for Canadian competitor Alcan Inc. after mining giant Rio Tinto made a significantly higher bid of US$38.1 billion (euro27.6 billion).