Rio Tinto mans barricades

The Australian reports that, faced with increasing speculation that the company will be the subject of a takeover bid or takeover bids, Rio Tinto has instructed its financial advisor, Morgan Stanley, to prepare a defense strategy.

Rio has "refreshed" Morgan Stanley's existing mandate in order to be prepared for any possible bid, an industry source told The Australian. The company refused to comment. Morgan Stanley's global mining industry adviser in London is Peter Bacchus, who spearheaded WMC's takeover defence against Xstrata in 2005 when he was based in Australia with Citigroup.

-srbp-