FTSE 100 movers: Rio and BHP Billiton soar

5th Jun 2009 12:40

Rio Tinto dominated the market after it scrapped its controversial $19.5bn refinancing deal with Chinese firm Chinalco. Instead it launched a $15.2bn rights issue and agreed to merge its West Australia iron ore assets with BHP Billiton's. Institutional investors welcomed the decision, which has been heavily criticised form the start, as the rights should avoid the heavy dilution that could have accompanied conversion of the bonds to be issued to Chinalco.BHP Billiton also rose strongly as analysts suggested that the deal to merge its iron ore assets achieves that its bid for Rio last year would have done but without having to take on Rio's debts. Lloyds fell back after a verbal battering for its management at the AGM over the acquisition of HBOS. The board survived all of the votes, but the prospect of legal action from small shareholder groups is looming large.FTSE 100 - RisersRio Tinto (RIO) 3,033.00p +11.51%Man Group (EMG) 272.25p +10.00%Vedanta Resources (VED) 1,667.00p +9.24%BHP Billiton (BLT) 1,570.00p +7.83%Eurasian Natural Resources (ENRC) 684.00p +7.55%Kazakhmys (KAZ) 707.00p +6.80%Antofagasta (ANTO) 661.50p +6.78%Anglo American (AAL) 1,862.00p +6.28%FTSE 100 - FallersThomas Cook Group (TCG) 216.75p -3.77%Hammerson (HMSO) 292.75p -3.38%Lloyds Banking Group (LLOY) 66.00p -1.64%HSBC Holdings (HSBA) 523.00p -1.55%Morrison (Wm) Supermarkets (MRW) 250.25p -1.48%Amlin (AML) 335.00p -1.33%Whitbread (WTB) 903.00p -1.31%Liberty International (LII) 414.50p -1.31%