Rio Tinto plc ADR Common Stock (RIO) Restructures to Focus on Profitable Assets

Rio Tinto Group (NYSE:RIO) is one of the top lithium stocks to buy now. On August 27, the company’s new CEO, Simon Trott, initiated a restructuring drive aimed at focusing on the most profitable assets.

In addition, the restructuring drive aims to simplify Rio Tinto’s structure, focusing on reducing costs as Lithium and iron prices decline. The company has also considered selling its titanium unit due to weak processes and low returns.

The restructuring drive splits the company into three core business units, with Mathew Holcz heading the iron ore division. The other two divisions will focus on aluminum, lithium, and copper. Jerome Pecresse will oversee operations in the aluminum division and also assume responsibility for lithium.

Rio Tinto Group (NYSE:RIO) operates in the lithium sector, supported by projects such as the Rincon brine project in Argentina and the Jadar project in Serbia. Through its significant acquisition of Arcadium Lithium, Rio Tinto has become a global leader in lithium production, leveraging innovative technologies such as direct lithium extraction (DLE) to reduce environmental impact and sustainably supply materials for electric vehicles and energy storage.

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Disclosure: None. This article is originally published at Insider Monkey.