CMOC swoop shows China still hungry for resources

Part state-owned China Molybdenum’s purchase of niobium and phosphate businesses from Anglo American for $1.5 billion could herald fresh Chinese mining M&A boom.

The world’s biggest commodity companies are still hurting. And China’s miners are watching them hungrily, looking to pick up major assets.

China Molybdenum Co, also known as CMOC, has been one of the first to pounce. On Thursday it announced that it had acquired Anglo American's Brazil-based niobium and phosphates mining businesses for $1.5 billion.

For Hong Kong and Shanghai-listed CMOC it is an opportunistic purchase. Anglo American has embarked on a clear-out of non-essential assets as it seeks to raise $5 billion to $10 billion to cut its net debt from $12.9 billion at the end of 2015. Moody’s cut its credit rating to junk...

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