Brazilian iron ore producer Vale said this week it has received approval from the Hong Kong stock exchange (HKex) to delist the company’s Depositary Receipts (HDRs), effective July 28, 2016, at 9am Hong Kong time.
Vale said the exit from the Asian stock exchange is in line with the company’s “simplification strategy”. A media report said Vale’s move make it evident HKex is in a better position with Chinese stocks rather than foreign stocks, which depend on China to grow.
Vale said recently it is still working on a $10 billion core asset sale by 2017 as a way to reduce debt.
According to Vale, disinvestments in noncore assets should decline to a range of $4 billion to $5 billion in 2016, as opposed to a $4 billion to $5.5 billion range announced in April this
year. The company is “adjusting” its product strategy in order to improve margins.
year. The company is “adjusting” its product strategy in order to improve margins.