Russian rival firms Rusal and Sual have come together with Swiss group Glencore to create the largest aluminium producing company in the world, knocking Alcoa Inc from the top spot.
Rusal will own 66 per cent of the $25-30 billion company, the world's largest aluminium producer, which has plans to list shares in London within 18 months, senior executives said today after signing the merger agreement.
Sual, Rusal's smaller Russian rival, would hold 22 per cent and Swiss commodities trader Glencore 12 per cent in a company supplying about an eighth of the world's aluminium and 16 per cent of global alumina, from which the metal is made.
"If we want to be a company fully listed on an exchange, we need to offer in the region of 20 per cent. No decision has been taken yet. It will be discussed and we have 18 months to do so," Viktor Vekselberg, Sual's main owner, said.
Rusal's main owner is Oleg Deripaska, Russia's sixth-richest man. He said in a statement: "The new joint company will be highly ambitious and today's announcement is a staging post towards our future objectives."
United Company Rusal would be capable of producing four million tonnes of aluminium and 11 million tonnes of alumina per year, Mr Vekselberg said.