Anglo American is pushing forward with the demerger of Anglo American Platinum, aiming for a June separation.
The mining giant, which owns around 67% of the world's top platinum group metals (PGMs) producer, will seek shareholder approval for the split at its annual general meeting on April 30, as reported by .
Anglo American plans to retain a 19.9% stake initially but intends to gradually exit after the separation. This move is part of a broader strategic shift for the mining group.
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Anglo Platinum will operate independently, with its financials no longer consolidated under the larger group.
Chief Executive Duncan Wanblad stated: "We are on a clear timeline towards demerging Anglo American Platinum – the world’s leading PGM producer – in June, with its primary listing on the Johannesburg Stock Exchange and an additional listing on the London Stock Exchange.
"Consistent with our commitment to deliver a responsible demerger, Anglo American intends to retain a 19.9 per cent shareholding in Anglo American Platinum in order to further help manage flowback by reducing the absolute size of the shareholding that will be emerged.
"Anglo American will no longer have any representation on the Anglo American Platinum board post demerger and we intend to exit our residual shareholding responsibly over time, and subject to customary lock-up arrangements."
The mining company announced that the deal would result in an immediate cash boost for the group.
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It stated it would receive a total dividend payout of R16.5bn ($0.9bn) before the split, with the parent company's share amounting to approximately $0.6bn. The PGMs unit reported an adjusted EBITDA of R19.8bn ($1.1bn) for 2024.
The completion of the demerger, along with Anglo American’s forthcoming annual results on 20 February, will provide a more transparent view of how the company plans to utilise the capital released by its exit from PGMs.