Activist Bluebell Capital draws up plan to spin off coal from Glencore

Feb 14 (Reuters) – Activist investor Bluebell Capital Partners has proposed a new structure for Glencore (GLEN.L) that would allow the miner to spin off its thermal coal business while retaining control of the spinoff, according to a letter released on Monday .

In November, Bluebell asked Glencore to spin off the unit to allow more investors to buy the stock, but Glencore CEO Gary Nagle said at the time that none of its major shareholders were asking for a spin. -off.

In the letter dated January 24, London-based Bluebell outlined a plan for Glencore to spin off its coal company with A and B shares.

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Thermal coal is the dirtiest fossil fuel and other major mining companies, including Rio Tinto (RIO.L), (RIO.AX) and Anglo American (AAL.L), have sold or divested their coal assets as that they were focusing on greener initiatives.

Thermal coal prices, however, are near historic highs reached last year due to expectations of a continued shortage of energy supply.

Glencore is due to publish its annual results on Tuesday.

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Reporting by Sinchita Mitra in Bengaluru and Clara Denina in London; Editing by Devika Syamnath

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