March 24-30 was a generally good reporting period for U.S. markets, but no more so than among the metal producers. Both major market indices advanced, with the Dow up 3.2% and the S&P 500 up 3%.
Buy-ins and sellouts made the news in the mining equities, as
The Norilsk deal saw Anglo sell its 98.5 million Gold Fields shares at R77.50, for a total purchase price of US$1.2 billion. Norilsk shares, traded on the pink sheets, finished at US$76, while Gold Fields was up US50 at US$13.11 and Anglo American rose US48 to US$24.33.
Freeport’s buyback deal with Rio Tinto had a price tag of US$882 million and sees Rio return 23.9 million shares of Freeport that it bought in 1995 for US$20.90 per share — just about doubling its money. The deal was conditional on an issue of US$1.1 billion in convertible preferred shares, which came through on March 30. The new shares can be converted to 20.7 million common shares of Freeport.
Rio Tinto shares rose US$2.75 to US$101.60, and Freeport shares tacked on US33 to finish at US$39.28.
Almost all the other mining stocks advanced. On the base metals side,
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