By Crystal Tse, Dinesh Nair and Thomas Biesheuvel
BHP, the world’s largest miner, is considering a potential takeover of Anglo American, people with knowledge of the matter said, in what would rank as one of the year’s biggest deals.
The mining giant has recently been evaluating the possibility of a bid for London-listed Anglo American, the people said, asking not to be identified discussing confidential information.
It would be a mega deal: BHP is eyeing Anglo American, people with knowledge of the matter said.Credit: Will Willitts
Shares of Anglo American have fallen 12 per cent over the last 12 months, giving the company a market value of £27 billion ($52 billion).
BHP, which trades in London and Sydney, has a market value of about $230 billion.
Deliberations are at an early stage and there’s no certainty that BHP will decide to proceed with a deal, the people said. Representatives for BHP and Anglo American declined to comment.
Anglo American reported a steep fall in 2023 profit and lowered its dividend after a slump in key commodities it produces. In recent months, it has written down the value of its De Beers diamond unit by $US1.6 billion and dramatically slashed its copper production goals.
The company has also proposed cutting 3700 jobs across its South African platinum operations and took a writedown on its nickel business.
Bloomberg
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