Freshfields, Links team up on Xstrata rights issue

Freshfields, Links team up on Xstrata rights issueMining group Xstrata is set to launch a £4.1bn rights issue, leading to mandates for magic circle rivals Freshfields Bruckhaus Deringer and Linklaters.

Freshfields has emerged as the main corporate adviser to Xtrata, having worked on its hostile bid for Falconbridge in 2006.

Corporate partner Julian Makin worked on that deal and has also been instructed for the rights issue alongside corporate partner Graham Watson.

Linklaters is acting for the banks, which include JPMorgan Cazenove and Deutsche Bank. The Linklaters team is being headed by corporate partners Charlie Jacobs and John Lane.

Xstrata will use the proceeds of the share issue to pay down its debt and purchase coal assets in Columbia.

Both Freshfields and Linklaters also won roles in the Anglo Swiss company’s last rights issue in 2003. Linklaters’ head of banking John Tucker and Jacobs advised the underwriting banks, JPMorgan and Deutsche.

The Freshfields team acting for Xstrata on the £900m issue was led by corporate partner Jeremy Pitkin.

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