Unlock the Editor’s Digest for free
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.
Glencore has ditched a plan to spin off its coal business after shareholders objected to proposal that would have seen the division listed in New York.
“Following extensive consultation with our shareholders, whose views were very clear, and our own analysis, the board believes retention offers the lowest risk pathway to create value for Glencore shareholders today,” Kalidas Madhavpeddi, chair of Glencore, said on Wednesday.
The FTSE 100 group said that more than 95 per cent of the shareholders it had consulted favoured retaining the business, which has been a major profit engine in recent years as the highly-polluting fossil fuel has enjoyed a resurgence.
The abandonment of the plan came as Glencore reported underlying profits of $6.3bn for the first half, matching analysts’ forecasts, and revenues of $117bn.
