Indian billionaire Anil Agarwal is planning to increase its investment in Anglo American (LON:AAL) by as much as 1.5 billion pounds ($2 billion), which would make him the biggest shareholder in the diversified miner.
The acquisition of further shares will be done through Volcan Investments Ltd., the family trust of Agarwal, who is the founder and chairman of Vedanta (LON:VED), India’s largest mining company.
The move could give Agarwal a commanding voice at Anglo American, the world’s fifth-largest miner by market value, which the businessman described earlier this year as “a great company with excellent assets and a strong board and management team who are executing a focused strategy.”
The investment comes on top of the 12.43% stake he’s built since March, when Volcan boosted its holding in Anglo American..
While some interpret today’s announcement as the beginning of an Anglo takeover, Agarwal has repeatedly said he doesn’t intend to take control of the company. A dubious statement, as the Indian tycoon already approached the London-listed miner last year with an offer to merge with Hindustan Zinc, a mining firm he controls through Vedanta.
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