Brazilian mining giant Vale is working on a more than $30 billion bid for one of the world's largest mining companies, O Estado de S. Paulo newspaper said on Tuesday, citing unnamed sources.
The company was preparing to raise money through the issue of shares in the international market in order to conclude the acquisition, sources from the company were quoted as saying.
Three companies could be Vale's target -- Anglo American, U.S.-based Freeport-McMoRan Copper and Gold, and U.S. aluminum producer Alcoa Inc., sources close to Vale have said.
Alcoa's shares rose about 4 percent on Monday on the New York Stock Exchange, fueled by news of a possible deal.
Vale failed in a takeover bid for Xstrata in March after months of talks about a deal that would have been one of the biggest ever takeovers, worth up to $90 billion.
(Reporting by Inae Riveras, editing by Dave Zimmerman)
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