MELBOURNE, Oct 18 (Reuters) - BHP Billiton and Rio Tinto have agreed to abandon their proposed $116 billion iron-ore joint venture without triggering a $250 million break fee, the two companies said on Monday.
The decision has been widely expected after European regulators indicated they would block the deal.
The collapse of the deal, first announced 16 months ago, marks the end of their attempt to reap $10 billion in savings by putting together their iron ore operations in Western Australia, and the second big effort by BHP to get a piece of Rio Tinto's superior iron ore assets.
(Reporting by Sonali Paul; Editing by Ed Davies)
((sonali.paul@thomsonreuters.com; +61 3 9286 1419; Reuters Messaging: sonali.paul.reuters.com@reuters.net)) Keywords: BHP RIO/ (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The decision has been widely expected after European regulators indicated they would block the deal.
The collapse of the deal, first announced 16 months ago, marks the end of their attempt to reap $10 billion in savings by putting together their iron ore operations in Western Australia, and the second big effort by BHP to get a piece of Rio Tinto's superior iron ore assets.
(Reporting by Sonali Paul; Editing by Ed Davies)
((sonali.paul@thomsonreuters.com; +61 3 9286 1419; Reuters Messaging: sonali.paul.reuters.com@reuters.net)) Keywords: BHP RIO/ (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.