JOHANNESBURG, April 30 (Reuters) – The chairman of Vedanta Resources Plc, who is also Anglo American’s biggest shareholder, said on Monday he had convinced Anglo not to sell off key assets in South Africa.
Indian industrialist Anil Agarwal has an almost 20 percent stake in Anglo through his family trust Volcan Investments and has played down speculation that he is seeking a tie-up with Anglo.
But in an interview with Reuters, Agarwal made it clear that he has not been a passive shareholder. “I always believed that South Africa has a lot of potential, and Anglo management may not have always believed that … and they wanted to sell some assets,” he said.
“When I became the biggest shareholder I advised them (not to sell). And I am very pleased that they have not sold those assets. And personally I was right because the share price is now up 50 percent and the profits are getting better.”
In the midst of the commodity slump, Anglo said it would sell 16 assets including its South African business Kumba Iron Ore to focus on copper, diamonds and platinum.