The Rio Tinto Group $RIO (+2.14%)
$RIO (+0.42%) wants to sell bonds in the USA to raise a bridge loan to finance the 6.7 billion dollar takeover of Arcadium Lithium.
The world's second-largest mining company did not specify how much it plans to raise in its filings with the US Securities and Exchange Commission. A Rio spokesman declined to comment.
Rio recently abandoned plans to raise as much as $5 billion through a share sale after investors objected, according to people familiar with the matter.
The mining company completed its acquisition of Arcadium last week and said it was financing the acquisition by drawing down an existing $7 billion bridge loan, which it plans to replace with long-term debt financing. Goldman Sachs Group Inc. and JPMorgan Chase & Co. advised Rio on the acquisition.
"Market talk indicates that a benchmark-sized transaction with maturities of 2, 3, 5, 7, 10, 30 and 40 years is expected," CreditSights analysts, including Wen Li, said in a note published on Tuesday.