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Anglo American to sell Tongaat Hulett stake
By resourceINTEL · August 12, 2009 · 9:10 am · Leave a Comment
JOHANNESBURG (miningweekly.com) – Anglo American will sell its 49,5% shareholding in South African agroprocessing firm Tongaat Hulett, as part of its strategy to focus on its core mining operations, it announced on Wednesday.
The mining company would sell 51,2-million Tongaat Hulett shares in a bookbuilding process.
Late last month, the group sold its remaining stake in Hulamin for R1,16-billion.
Tongaat Hulett CEO Peter Staude said that Anglo American’s decision to sell its stake was an opportunity to increase the liquidity of the sugar producer’s listed equity and to enhance the extend and spread of its local and foreign shareholders.
“This transaction by Anglo American should remove the uncertainty that has existed in respect of its shareholding in Tongaat Hulett and enable increased investment by emerging market fund managers, who were previously constrained by the limited liquidity,” he said in a statement.
The mining company said that the final amount of the equity placing and exchangeable issue would be determined by demand.
The exchangeable bonds would be issued by Anglo American SA Finance Limited, guaranteed by Anglo American and listed on the JSE…read more at the Mining Weekly
