Rio Tinto is under pressure from Palliser Capital, an activist investor, to abandon its primary London listing and adopt a sole focus on Australia, according to reports. The UK-based hedge fund, holding an estimated $250 million (£197 million) stake in the mining giant, criticized the firm’s dual listing structure across the London and Sydney markets as “outdated.”
Palliser’s proposal mirrors the move by BHP, which shifted its primary listing to Sydney in 2022, citing strategic advantages. Australian investment firm Blackwattle Investment Partners has expressed support for Palliser’s call, suggesting alignment around a central listing in Sydney. However, under the proposal, Rio Tinto shares would remain traded in London under a secondary listing.
This push comes as London’s financial markets face growing challenges, with several high-profile firms, including Tuiand Flutter, recently relocating their main listings overseas.
Meanwhile, at its investment day in London, Rio Tinto outlined an ambitious plan for “a decade of profitable growth,” including projections for significant increases in copper production. The company aims to produce 780,000-850,000 tonnes of copper by 2025, up from this year’s estimated range of 660,000-720,000 tonnes, driven by strong performance at its Oyu Tolgoi mine in Mongolia. By 2030, the company targets annual production of 1 million tonnes of copper, a critical material for the global energy transition.
Jakob Stausholm, Rio Tinto’s CEO, emphasized the company’s long-term strategy: “We are committed to becoming a global leader in energy transition materials. Our improved performance enables us to pursue growth, meet our decarbonization targets, and maintain our dividend policy while preserving a strong balance sheet.”
