Support for De Beers Rights I

RNS Number : 9898G

Anglo American PLC

11 February 2010

 



News Release

11 February 2010

Anglo American supports De Beers' $1 billion rights issue

  

Anglo American plc announces that it has undertaken to subscribe in full to its entitlement to the $1 billion rights issue announced today by its 45% owned associate company, De Beers. Anglo American will invest $450 million in equity as part of a commitment by each of the three shareholders in De Beers to pro rata equity contributions.

During 2009, De Beers implemented a successful restructuring of its business and achieved significant efficiency improvements and cost reductions, with production and operating costs reduced by 45% and a 23% reduction in its global workforce as production was brought in line with demand.

The rights issue forms part of a wider refinancing package for De Beers designed to provide the company with a more appropriate capital structure and to secure ongoing banking facilities, at a time when the demand outlook for diamonds is improved, and to enable De Beers to invest in its future growth as the world's leading diamond business.

For further information, please contact:

United Kingdom

James Wyatt-Tilby, Media Relations

Tel: [phone]

Caroline Metcalfe, Investor Relations

Tel: [phone]

Leisha Wemyss, Investor Relations

Tel : [phone]

South Africa

Pranill Ramchander, Media Relations

Tel: [phone]

Anna Poulter, Investor Relations

Tel: [phone]

Notes to Editors:

Anglo American plc is one of the world's largest mining groups. With its subsidiaries, joint ventures and associates, it is a global leader in platinum group metals and diamonds, with significant interests in copper, iron ore, metallurgical coal, nickel and thermal coal, as well as a divestment portfolio of other mining and industrial businesses. The Group is geographically diverse, with operations in Africa, Europe, South and North America, Australia and Asia.

www.angloamerican.co.uk

 

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