Turquoise Hill delays shareholder vote on Rio Tinto’s plan to take the company private

TORONTO—Turquoise Hill Resources Ltd. delays shareholder vote on Rio Tinto’s plan to privatize the company.

The company says Rio Tinto requested the postponement of the vote that was to take place on Wednesday at the request of the Quebec Securities Authority. The shareholders’ meeting is now set for November 15.

The postponement comes as Rio Tinto is in talks with Turquoise Hill’s special committee of independent directors and the Autorité des marchés financiers regarding dissent rights and procedures available to minority shareholders.

Rio Tinto reached an agreement last week with two shareholders who had opposed the company’s plan to acquire the 49% stake in Turquoise Hill it does not already own for $43 a share.

Under the agreement, Pentwater Capital Management LP and SailingStone Capital Partners LLC will withhold their vote on the plan and instead exercise their dissent rights under an arrangement that includes mediation and the possibility of binding arbitration.

Turquoise Hill owns a 66% interest in the Oyu Tolgoi copper and gold mine in Mongolia. Erdenes Oyu Tolgoi LLC, a Mongolian public entity, holds the remaining 34% stake.

This report from The Canadian Press was first published on November 7, 2022.

Companies in this story: (TSX: TRQ)

The Canadian Press

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