Mining giant AngloGold Ashanti is planning to demerge some of its non-South African assets into a newly created UK-based company.
The demerger is part of the company's restructuring plan to simplify operations and focus on key commodities.
The new entity will apply for a listing on the London Stock Exchange by the middle of next year and will own AngloGold's portfolio of gold production and exploration assets located outside South Africa.
As part of the plan, Anglogold intends to give 35% of the new company's shares to its shareholders and retain the remaining 65%.
AngloGold Ashanti chairman Sipho Pityana said: "It has become increasingly clear that the two distinct parts of our portfolio require different strategies, focused management, and should be appropriately capitalised to realise their full potential and unlock further value for shareholders.
"In South Africa we will create a standard bearer for the mining industry with a structure allowing it to chart an exciting growth trajectory while allowing investors to properly value its high-quality, cash generative portfolio."
Meanwhile, the company is also planning to raise $2.1bn through a rights issue before the demerger, with the aim of repaying some of its debt which is around $3.2bn.
Following the restructuring, which requires shareholder approval, AngloGold would be debt-free, whereas the new company will have a debt of between $1bn and $1.2bn, reported Reuters.
The demerger plan by the company follows the recent announcement by BHP Billiton to move some of its non-performing assets into a new metals and mining company and focus on key commodities.