Monday, 16th January 2006 (3075 views)

Anglo American has announced plans to jettison its majority stake in Anglo Gold, the world's third largest gold miner.

The mining giant has appointed a team of advisers to help with the break up the group and Anglo Gold is expected to be one of the entities under the hammer.

Anglo American's 51 per cent stake in Anglo Gold is currently worth $4.1 billion.

The company would prefer to sell its gold mining daughter in three tranches due to its massive size, the Australian reports.

With the recent run in the price of gold showing no sign of showing, analysts believe a number of suitors could come forward to claim the stake.

America's Newmont Mining remains a favourite although Canada's Barrick Gold could is also in the frame despite its recent agreement to buy rival Placer Dome.

But some have speculated that Anglo Gold is trying to get out while the going is good, with gold prices closing at a sky-high $548.25 on Friday.

South Africa's Oppenheimer family is also thought to be considering selling its stake in Anglo Gold.

 

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