Xstrata buys Lonmin shares and ups stake to 24.9 pct

LONDON (Reuters) - Miner Xstrata (XTA.L) boosted its stake in number three platinum producer Lonmin (LMI.L) to 24.9 percent, the maximum level allowed by regulators after it walked away from making a formal bid for the firm on Wednesday.

Xstrata, which already had a 10.7 percent stake, bought 22.2 million shares at an average of 19.79 pounds each for a total of $786 million, a statement said.

(Reporting by Eric Onstad; Editing by Paul Bolding)