Analysts are already estimating synergies of up to $5 billion from a BHP-Rio merger and plenty of those would come from closing Rio Tinto’s extravagant London head office and running the entire $500 billion empire out of BHP-Billiton’s Lonsdale Street head office in Melbourne, writes Stephen Mayne.
Rio tinto shares
BHP and Rio = staggering $407 billion in equity
BHP-Billiton is now valued at more than $250 billion, based on yesterday’s record close of $44.60. In fact, this week’s 8% surge means that BHP’s market value now exceeds the combined value of our Big Four banks.
