U.S. News

BHP Not Interested in Alcoa: Report


Miner BHP Billiton will not launch a $45 billion bid for U.S. aluminum giant Alcoa, The Australian newspaper reported on Friday, citing unnamed sources.

Alcoa is “no longer a target of interest” the Melbourne-based mining company told the paper, but could instead be considering a similar bid for U.S. copper miner Freeport McMoRan.

The statements comes amidst a period of merger and acquisition activity in the mining sector, with Alcoa withdrawing a hostile offer for Alcan and Rio Tinto launching a friendly $38.1 billion dollar bid for the Canadian aluminum group.

Analysts have said Alcoa's other potential suitors include Brazil's CVRD and London-listed Xstrata, according to AFX.

Shares of BHP gained 1.1% in London trading.