Company Interview / Market Update | Rio Tinto, BlueScope, Mayne Pharma, Monadelphous, Deep Yellow

Rio Tinto (ASX: RIO) has engaged JPMorgan and two other advisers on its potential acquisition of Glencore according to Reuters. It's a deal that could create the world's largest miner worth over $200 billion. The other banks Rio Tinto has engaged are Evercore and Macquarie, the person said. The potential transaction represents the latest attempt at consolidation in the global mining industry. Glencore has not yet formally retained an adviser according to Reuters. The two mining giants have explored combining operations before, with Rio Tinto rejecting a Glencore merger offer in 2014.

BlueScope Steel (ASX: BSL) will return $438-million dollars to investors through a $1 per share unfranked special dividend. The move will be funded through recent asset sales and working capital releases. This includes the sale of its 50-percent stake in Tata BlueScope, a land sale at West Dapto, and the winding down of projects. The board says it opted for a dividend instead of buybacks due to current regulatory and corporate activity settings.

Monadelphous (ASX: MND) has been awarded a $300-million dollar contract with Rio Tinto. The contract is for long term maintenance services over five years across Rio's iron ore operations in the Pilbara. Under the contract, the firm will continue to provide fixed plant and shutdown services, as well as generalist mechanical and access services.

Deep Yellow (ASX: DYL) says incoming chief executive Greg Field will start on February 2. That brings forward the firm's leadership transition after former ceo John Borshoff resigned suddenly in October. Acting chief executive, Craig Barnes, will return to his position as chief financial officer once Field takes over.

Mayne Pharma (ASX: MYX) has decided to reduce the size of its board. Chair Frank Condella steps down today and two other directors will also depart. Professor Bruce Robinson has been appointed as non executive chair from today.