Glencore still faces questions after £1.6bn capital raising

Company's shares shed early gains, as analysts point to battered reputation and need to ‘rebuild story’

Glencore
(Image credit: Fabrice Coffrini/AFP/Getty Images)

Glencore has finally ‘pressed the button’ on a plan, announced earlier this month, to raise $2.5bn (£1.6bn) through the issuance of new shares as part of an attempt to reduce its substantial debt pile.

The move is one of a range of measures, alongside selling assets, cancelling dividends and shutting mines, to cut its $30bn worth of borrowings – considered excessive by some – by around a third and bring a measure of control amid falling commodity prices.

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