Chinalco to buy new shares in Rio Tinto post rights issue

Chinalco has decided to participate in the $15.2-billion rights issue of global miner Rio Tinto.

China's State-owned nonferrous mineral processor has made up its mind to buy new shares this week offered by Rio Tinto to maintain its shareholding ratio in the company, British newspaper Daily Telegraph reported on Saturday, citing an anonymous person close to the Chinese company.

At present, Chinalco is the single largest shareholder of Rio Tinto, controlling 9.3 percent of its total shares. If Chinalco had decided not to subscribe to the rights issue, its ownership of Rio Tinto would have been diluted.