Anglo American: Shares rise as chief opens to takeover

SHARES in Anglo American rose almost 3 percent yesterday after Dow Jones reported that the company’s chief executive had said he was open to a takeover approach. Mark Cutifani has flagged cost-cutting measures and asset sales to turn around the smallest of the leading diversified mining houses, whose shares have lagged its peers for years, but it remains a potential takeover target for its bigger rivals. “Our job is to do a good job with the business, and at the end of the day, if somebody sees value, then there’s a conversation to be had… I’m not anti. I’m very open. I’m not scared by it,” Cutifani was quoted as saying. However, he added that such a deal is “not what we’re setting this business up for”. Former chief executive Cynthia Carroll rejected a 2013 approach by Xstrata, which was taken over by mining firm and commodities trader Glencore last year, since when there has been repeated speculation about a possible Glencore bid. Anglo American shares rose to a session high of R281.50 yesterday before closing 2.72 percent up at R276.50 on the JSE yesterday. – Reuters