Investment banks on Wall Street are scrambling for advisory roles as Rio Tinto explores a potential takeover of Glencore, a deal that could create the world’s largest mining group with a valuation exceeding $200 billion and unlock more than $100 million in fees for advisers.

The competition intensified after the two mining giants confirmed they are in early stage discussions over an all share transaction that could see Rio acquire some or all of Glencore. While the talks remain preliminary, bankers say the scale and complexity of the potential merger has already triggered a fierce behind the scenes battle among advisory firms.

Under UK takeover rules, Rio has until February 5 to either make a formal offer or walk away. A Rio spokesperson said the company expects to disclose its advisers if and when negotiations progress. Glencore declined to comment.

Large cross border mergers typically involve multiple banks advising on deal structure, valuation, financing and investor engagement. According to people familiar with comparable transactions and data compiled by LSEG, advisory fees on a deal of this magnitude could easily surpass $100 million, depending on complexity and financing needs.

No advisers were named when the companies acknowledged the talks, leaving key roles still up for grabs. Sources within advisory firms said discussions are ongoing as banks position themselves for mandates.

JPMorgan, which serves as Rio’s corporate broker, is seen as a front runner to advise the miner, the world’s largest iron ore producer. UBS also acts as a broker to Rio. Glencore, by contrast, does not maintain a formal corporate broker, though Citi has longstanding ties to the company and advised it on previous transactions, including its unsuccessful bid for Teck Resources in 2023. JPMorgan, Citi and UBS declined to comment.

The potential mining mega deal comes as global mergers and acquisitions activity gains momentum, raising the stakes for banks eager to secure headline transactions. Goldman Sachs, JPMorgan and Morgan Stanley topped global M&A fee rankings last year, with advisory revenues rising 19 percent from 2024, driven largely by strong activity in North America, according to Dealogic.

LSEG data shows there were 68 deals worth $10 billion or more in 2025, totaling $1.5 trillion, more than double the previous year. Bankers say looser US regulatory scrutiny and lower interest rates have improved conditions for large-scale transactions, encouraging companies to act.

“Conditions for big deals are unlikely to get much better,” said one banker advising on cross-border transactions who is not involved in the Rio–Glencore talks, adding that companies are increasingly comfortable moving ahead despite ongoing debates over tariffs.

Still, there is no certainty the discussions will result in a transaction. Advisory banks risk walking away with minimal compensation if the talks collapse, often receiving only modest retainers.

Rio and Glencore have a long history of on-and-off merger discussions. In 2014, Rio rejected a takeover approach from Glencore, saying it was not in shareholders’ interests. More recent talks in late 2024 also ended without agreement.

For now, the possibility of a deal that would reshape the global mining industry has advisers on high alert, with Wall Street keenly watching whether the talks evolve into one of the biggest corporate combinations in years.