BREAKFAST DEALS: A Chip off BHP's block

Send your tips to deals@businessspectator.com.au and don't forget to watch Deals TV for new rumours and reports later on this morning. Plus, you can follow us at www.twitter.com/WheelsDeals

Former BHP chief Chip Goodyear is said to have rejected a job offer to take the reins at Russian billionaire Alister Usmanov's Metalloinvest.

Rio Tinto, Chinalco, China Investment Corp, BHP Billiton, Metalloinvest

There are more denials that Chinalco is looking to sell its stake in Rio Tinto, possibly to sovereign wealth fund China Investment Corp. The Beijing Times is reporting that Chinalco says its 9 per cent holding is a strategic investment and part of its diversification and internationalisation plans. Across to BHP Billiton, and former chief executive Chip Goodyear is said to have rejected a job offer from Russian billionaire Alisher Usmanov's Metalloinvest. According to the UK's Independent, Goodyear was approached in December to lead Metalloinvest, which is set to list in London this year. The group was attracted to Goodyear because of his high profile in western investment circles and credibility, the paper reports. But an industry source said Goodyear – now based in London after plans to take over the reins at Singapore sovereign wealth fund Temasek Holdings fell over in 2009 – preferred to be involved in a company with a "global footprint that needs advice”. He is looking to land a large job by June, the source said. Usmanov, who founded Metalloinvest, also owns a major stake in Arsenal Football Club.

Macquarie Group

The silver donut is in the international news again, with reports Macquarie Group is working alongside Canadian Pension Plan Investment Board and Abu Dhabi Investment Plan to bid for EDF's electricity network in Britain. The UK's Sunday Telegraph reports that the group is working on an offer worth £4 billion ($6.9 billion), and is being advised by Goldman Sachs and Lexicon Partners. This follows reports last week that Macquarie was one of three short-listed parties for whole or part of commodity trader RBS Sempra, valued at around $US4 billion, and comes after several small acquisitions in the energy space over the past year. A sale of RBS Sempra is tipped shortly, says Reuters, which is more than CPPIB could achieve with its joint takeover proposal for toll road operator Transurban.

National Australia Bank

Also in RBS news, National Australia Bank might need to reveal its UK plans shortly, with potential bidders for RBS's 300-plus branches said to have been given until the end of January to express interest in the assets. A teaser document has been circulated by the part-nationalised bank, according to the UK's Sunday Times. The sale is tipped to attract the interest of supermarket operator Tesco, Sir Richard Branson, the Bank of China, and Spain's Santander and BBVA. National Australia Bank, which owns the Clydesdale and Yorkshire banks, has kept the market guessing as to whether it intends to exit or expand its interest in the UK. Meanwhile, Ron Sandler of the Northern Rock 'good bank' – which is earmarked for sale – is reassuring the British taxpayer that they will be rewarded for pumping £1.4 billion into the bank during the global financial crisis. While refusing to speculate on the sale process, the one-time chairman of the combined group has told a UK paper that projections show that the taxpayer will be "well rewarded for what has taken place.” The sale of Lloyds Banking Group branches is also expected to attract plenty of interest, with the NAB again raised a potential suitor.

Qantas

An investigation by Vietnamese authorities into two Jetstar Pacific employees is not expected to deter Qantas from boosting its stake in the airline, according to The Australian Financial Review. A company source has told the paper that Qantas is still likely to increase its holding in Vietnam-based Jetstar Pacific to 30 per cent – the maximum allowed – from 27 per cent this year.

Wrapping up

An announcement from CBH Resources is tipped shortly, according to the AFR, amid talk the zinc miner has attracted a takeover offer from Belgium's Nyrstar. While Perilya said last week it was not behind the halt, Patersons Securities analyst Alex Passmore is not so sure, saying a Perilya tie-up makes more sense than a Nyrstar deal. Also expected is an update from green energy group Energy Developments, the paper suggests, after private equity firm Pacific Equity Partners declared its $2.75 per share offer unconditional last week. PEP has extended its offer until January 22 and has 48 per cent of the target.

Don't miss Deals TV later this morning, which will look at Origin Energy, Rocklands Richfield and the real value of investment bankers.