/ 30 March 1999

Anglo bids for minorities

OWN CORRESPONDENT, Johannesburg | Tuesday 10.15am.

ANGLO American will bid to consolidate its corporate position by buying out minority shareholders in gold holding company Amgold and Anamint, which holds about 26% of De Beers.

Anglo already owns 51,5% of Amgold, and 52% of Anamint.

Anglo will offer 140 Anglo shares for every 100 Amgold shares, while Anamint owners will be offered 59 Anglo shares for every 100 of Anamint. If the offers are taken up, 16,4-million Anglo shares will go to Amgold owners, while 22,5-million will go to Anamint shareholders.

The total value involved, at Monday’s close, will be R8,8-billion.

Amgold owns 20,5% of Anglogold, the world’s largest gold producer, and has varied interests in Afrikander Lease, Avgold, Gold Fields, and Western Areas.

The moves are part of Anglo’s ongoing restructuring ahead of its London listing. Cleaning up the corporate profile by eliminating cross-holdings and buying out minorities is part of an effort to unlock value for shareholders and make the issue attractive to the London market.