BHP seeks London listng for NewCo

Mining giant BHP Billiton has caved in to shareholder demands to list its yet-to-be-named $US15 billion spinoff in London.

BHP says it will now seek a London listing for the new company, in addition to a planned primary listing in Australia and a secondary listing in South Africa.

“We are pleased to offer an additional listing in London in response to the interest investors have shown in the new company,” chief executive Andrew Mackenzie said.

The global resources giant announced plans in August to spinoff most of its aluminium, coal, manganese, nickel and silver assets into the new company.

The mining giant had planned to list the company only in Australia and South Africa but faced pressure from UK investors who could have been forced to sell their stock in what has been dubbed “NewCo”.

BHP is listed in Australia and London, so not listing the new company in the UK would have made it difficult for some investors.

Mr Mackenzie said the company was working towards completing the merger in the first half of the 2015 calendar year.

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