Anglo investors share $1bn return
The world’s third-largest mining company Anglo American revealed a plan yesterday to return $1bn (£560m) to investors in 2006.
CEO Tony Trahar said: “Through a series of measures we are creating a more focused mining group.”
As part of the wide-ranging review Anglo is to cut its 51 per cent stake in gold producer AngloGold Ashanti, and consider spinning off its Mondi packaging and paper business.
The company is set to sell its majority holding in steelmaker Highveld, as well as restructure a number of other subsidiaries including Tongaat-Hulett, a sugar and aluminium firm.
Analysts welcomed the return of cash to investors and the fact that Anglo intended to become a more focused business.
Anglo said it will continue to invest in growth projects in core mining businesses and will continue to evaluate acquisition opportunities in the mining sector after its restructuring.
