BHP bid for Rio faces extended EU investigation

Bloomberg

European Union regulators extended a probe into BHP Billiton Ltd.'s hostile bid for Rio Tinto PLC because of "serious doubts" over a combination that would control more than a third of the world's iron ore production. The European Commission will review the $163-billion (U.S.) acquisition for 90 more working days and unveil a decision by Nov. 11, it said yesterday. The initial "investigation has indicated that the proposed takeover raises serious doubts as to its compatibility with the single market," the commission said. The antitrust division of the U.S. Department of Justice gave partial approval this week. BHP (Sydney) rose 88 cents to $40.70 Australian ($39.93 Cdn.). RIO (London) rose £1.40 to £56 ($113).