Glencore GC appointed as Xstrata merger goes live

Glencore Xstrata has appointed Glencore general counsel Richard Marshall as its overall legal chief following the $64bn merger that created the mining giant.

Marshall, who headed commodities trader Glencore’s in-house team since 2005, will take the overall position responsible for legal and compliance after the deal completed yesterday (2 May).

His selection is confirmed in a presentation by the combined group put out in a webcast this afternoon (3 May) outlining the company’s strategy and management structure under former Glencore CEO Ivan Glasenberg. Marshall’s job title is not stated.

Confirmation of Marshall’s role represents a shift away from an initial plan under consideration that would have seen each key leadership position at Glencore Xstrata – including the general counsel slot – shared by one figure from each legacy group (6 June 2012).

However, this has changed as the deal has morphed away a merger to being perceived as a takeover by Glencore in which the entire share capital of Xstrata has become owned by Glencore.

The merged company’s management is now largely made up of former Glencore staff, including Glasenberg.

Xstrata CEO Mick Davis was originally set to lead the combined outfit for the first six months post-merger. However, Xstrata announced on 16 April that Davis would leave on completion, as would chief legal counsel Benny Levene.

The merger of the two FTSE 100 groups was the largest UK public M&A deal by legal fees since new Takeover Code rules became effective in 2011 requiring detailed disclosure of spend. An estimated £38.9m was paid to legal advisers, principally Linklaters for Glencore and Freshfields Bruckhaus Deringer for Xstrata (14 January 2013).