Share this article

Multinational mining company Anglo American has agreed to sell nearly 35 million ordinary shares in Exxaro Resources, with an interest of 9.7%, and at a price of ZAR87 ($6.18) per share.

Major Exxaro shareholder Main Street 333 will also sell approximately 17 million of its shares in Exxaro Resources.

The sale of Anglo American shares has raised gross proceeds of approximately ZAR3bn ($215m), which will be used to reduce the company's net debt.

The placement of these shares constitute nearly 14.7% of Exxaro’s issued share capital.

After the sale, Anglo American will no longer hold a direct equity interest in Exxaro.

"After the sale, Anglo American will no longer hold a direct equity interest in Exxaro."

Citigroup Global Markets Limited acted as the sole bookrunner on this placement.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData

As per Exxaro’s first BEE transaction, Main Street 333 was obliged to hold more than 50% of its shares up to 28 November 2016, reported

Based in Johannesburg and London, Anglo American is one of the largest producers of platinum, and has substantial interests in diamonds, copper, nickel, iron ore and metallurgical and thermal coal mining.