Rio Tinto: A Compelling Case to Unify Now

  • A First-Class Asset Portfolio Trapped Inside an Outdated Structure

    Despite its world-class portfolio of diversified mining assets, Rio’s outdated dual-listed company (DLC) structure remains a governance concern, strategic impediment and value roadblock.

  • The DLC Has Destroyed US$50 Billion of Shareholder Value since Inception…

    Rio’s inability to issue stock for M&A has cost shareholders an unnecessary c.US$35.6 billion in book value. Legacy structure has wasted c.US$14.7 billion in valuable franking credits.

  • …and is the Root Cause of Rio Tinto’s Undervaluation Today

    US$24 billion structural value gap between Rio Tinto Plc (LSE/NYSE) and Rio Tinto Ltd (ASX) shares. Rio trades at a significant discount to underlying value and at a steep discount to global mining peers.

  • This Archaic Structure is Not Fit for the Corporate World of Today

    Management’s arguments against unification do not stack up. Every other large cap DLC has already unified – BHP is a clear blueprint for success.