logo
Plus   Neg
Share
Email

Anglo American To Demerge South Africa Thermal Coal Operations To Form Thungela Resources

Anglo American Plc (AAUKY.PK,AAL.L) Thursday said it plans to demerge its thermal coal operations in South Africa.

The separation will be implemented through the transfer of Anglo American's thermal coal operations in South Africa to a new holding company, Thungela Resources Limited, the demerger of the Thungela shares to Anglo American shareholders and the primary listing of Thungela's shares on the Johannesburg Stock Exchange and standard listing on the London Stock Exchange.

The demerger is subject to the approval of Anglo American's shareholders on May 5. If it is approved, it is expected that the demerger would be effective on June 4, with Thungela's shares being listed and admitted to trading on the JSE and LSE on June 7.

Following completion of the proposed demerger, 100% of the issued share capital of Thungela will be held by Anglo American shareholders who will each receive one Thungela share for every ten Anglo American shares that they hold.

Each Anglo American shareholder will also retain their existing shareholding in Anglo American.

Thungela will hold 90% of the thermal coal operations in South Africa with the remaining 10% held collectively by the employee partnership plan and the community partnership plan.

July Ndlovu, CEO of Thungela, said the company is establishing an employee partnership plan and a community partnership plan, with each holding a 5% interest in the Thungela thermal coal operations in South Africa.

Anglo American plans to set up Thungela as a sustainable standalone business, including by providing an initial cash injection of approximately $170 million and further contingent capital support until the end of 2022 in the event of thermal coal prices in South African rand falling below a certain threshold.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Alaska Airlines is set to use sustainable aviation fuel (SAF) made from municipal solid waste following a partnership with SkyNRG Americas, claimed to be the pioneer and global leader for SAF. Alaska Airlines is one of the most fuel-efficient airlines in the U.S. with a strong commitment to sustainability. Discount retailer Dollar General said it is planning to hire up to 20,000 new employees this spring. The company will host in-person and virtual hiring events from April 19 through April 23 to support ongoing efforts across store, distribution, transportation and corporate operations. The retailer provided a comprehensive list of hiring events and available positions on its Careers website. Wells Fargo & Co. (WFC) on Tuesday reported net income applicable to common stock of $4.74 billion or $1.05 per share for the first quarter, sharply higher than $653 million or $0.01 per share in the year-ago quarter. Revenue for the quarter increased 2 percent to $18.06 billion from $17.72 billion...
Follow RTT