NEW YORK, February 7 (FinanceEnquiry.com) - Standard Life Investments, the fourth largest investor in miner Xstrata, is planning to not vote in the favor of the suggested merger of the miner with suitor Glencore International. The European asset manager feels that this transaction clearly undervalues the assets and future earnings potential of Xstrata, whose 63.6 million shares are held by Standard Life.

Both the companies have planned a merger worth $90 billion on Tuesday that will make it the fourth largest natural resources company of the world. The united company will regulate a chain of operations from mining to refining, storage and shipping of basic commodities such as coal, copper and corn. As a part of the transaction, Xstrata shareholders will get 2.8 Glencore shares for each of their shares, which show a premium of 15.2 percent based on the Monday's closing prices. The commodities dealer Glencore already owns a 34 percent stake in Xstrata.