Clifford Chance and Linklaters have taken lead roles as the Aluminium Corporation of China (Chinalco) seals a $19.5bn (£13.7bn) strategic partnership with mining giant Rio Tinto.

The move represents the largest outbound investment ever put forward by a Chinese company and will see Chinalco increase its stake in Rio Tinto from 9% up to 18%.

Chinalco was advised by CC with a team headed up by corporate partners Kathy Honeywood and Nigel Wellings in London and Rupert Li in Beijing.

Antitrust support was provided by global head Simon Baxter in Brussels and London-based partner Greg Olsen, along with corporate partner Simon Cooke, tax partner Douglas French and Hong Kong-based energy partner Geraint Hughes.

Honeywood commented: "The creation of a strategic partnership to meet the long-term commercial objectives of both parties required an innovative structure and extensive negotiation between the parties. The global scale of both businesses, the spread of assets involved and the size of the investment required us to navigate regulatory frameworks across the world to make this deal possible."

Rio Tinto instructed regular adviser Linklaters with a team headed up by corporate partner James Inglis, along with capital markets partner Jane Brown, US corporate partner Tom Shropshire and competition partner Gavin Robert.

The deal will boost Rio Tinto's fortunes after the company recently revealed that its profits had fallen by 7% to $9.2bn (£6.4bn) during 2008.

CC advised Chinalco on its original $14bn (£9.9bn) investment in Rio last February with Honeywood and Wellings leading the team.

November last year saw the collapse of the $66bn (£46.5bn) hostile takeover of Rio Tinto by BHP Billiton.

BHP pulled out of its bid to take over the rival mining company – which had gifted roles to Slaughter and May, Linklaters and Allen & Overy – citing risks to shareholder value in the wake of the economic crisis.

Clifford Chance on the Legal Week Wiki

Linklaters on the Legal Week Wiki