/ 23 May 2008

AngloGold ‘delighted’ with rights offer

South Africa’s AngloGold Ashanti, the world’s third biggest gold producer, said on Friday it planned to raise R13,48-billion through a rights offer of new stock.

The mining group said it had finalised terms of the offer and shareholders had approved the issue of up to 71-million shares.

”We are delighted with the support for the rights issue,” AngloGold chief executive Mark Cutifani said in a statement.

”As a result we have been able to finalise the pricing of the rights issue at a higher level than initially contemplated, which will increase proceeds to the company by around R1,5-billion.”

The cash will be used to provide AngloGold with additional financial resources to fund new mines, mine development and exploration. – Reuters