Anglo American Progresses Towards Demerger of Anglo American Platinum, Announces Dividend Payments

Anglo American Progresses Towards Demerger of Anglo American Platinum, Announces Dividend Payments

(IN BRIEF) Anglo American has made considerable progress in its demerger of Anglo American Platinum, with a significant dividend payout announced for Anglo American Platinum shareholders ahead of the separation. The company continues to advance towards the planned demerger in June 2025, which will see Anglo American Platinum listed on both the Johannesburg and London Stock Exchanges. The demerger is set to further strengthen both entities’ focus on their respective business operations.

(PRESS RELEASE) LONDON, 17-Feb-2025 — /EuropaWire/ — Anglo American plc (“Anglo American”) has made significant strides in the demerger process of Anglo American Platinum Limited (“Anglo American Platinum”), which continues to move forward as planned. This morning, Anglo American Platinum released its results for the year ending 31 December 2024, further solidifying the progress made towards the separation.

Anglo American Platinum has declared its final dividend for 2024, which includes an additional cash dividend, bringing the total to R16.5 billion (approximately $0.9 billion). This payout will be distributed to all shareholders of Anglo American Platinum prior to the demerger. The additional cash dividend is part of the final steps in establishing Anglo American Platinum’s standalone capital structure. As a major shareholder, owning around 67% of Anglo American Platinum, Anglo American anticipates receiving about $0.6 billion from these dividends.

Duncan Wanblad, Chief Executive of Anglo American, commented: “We are on track with our timeline to demerge Anglo American Platinum, the world’s leading producer of platinum group metals (PGMs), in June. This will involve a primary listing on the Johannesburg Stock Exchange and an additional listing on the London Stock Exchange. As part of our commitment to a responsible demerger, Anglo American intends to retain a 19.9% shareholding in Anglo American Platinum, which will help manage the flowback of shares and reduce the overall size of the demerged shareholding. After the demerger, we will no longer have representation on the Anglo American Platinum board and plan to exit our residual shareholding responsibly, subject to standard lock-up arrangements.”

Anglo American also plans to seek shareholder approval for the demerger at its Annual General Meeting on 30 April 2025, pending the required governance and regulatory approvals.

Following the demerger, Anglo American Platinum will be de-consolidated from Anglo American’s financial statements. As of 31 December 2024, Anglo American Platinum held approximately $0.9 billion in net cash, which includes a customer prepayment of about $0.6 billion.

For the year ended 31 December 2024, Anglo American Platinum reported an adjusted EBITDA of R19.8 billion (roughly $1.1 billion), reflecting a strong financial performance. The following table provides a breakdown of Anglo American Platinum’s adjusted EBITDA and its contribution to Anglo American’s underlying EBITDA:

Adjusted EBITDA, as defined in Anglo American Platinum’s annual report, refers to earnings before interest, tax, depreciation, and amortisation, excluding certain adjustments such as asset scrapping, related insurance claims, and the profit or loss from asset sales.

The full financial results for Anglo American Platinum for the year ended 31 December 2024 are available on the company’s investor relations website: www.angloamericanplatinum.com/investors/financial-results-centre.

Anglo American’s financial results for the year ended 31 December 2024 will be announced on 20 February 2025.

Notes:

Anglo American is a leading global mining company focused on the responsible production of copper, premium iron ore and crop nutrients – future-enabling products that are essential for decarbonising the global economy, improving living standards, and food security. Our portfolio of world-class operations and outstanding resource endowments offers value-accretive growth potential across all three businesses, positioning us to deliver into structurally attractive major demand growth trends.

Our integrated approach to sustainability and innovation drives our decision-making across the value chain, from how we discover new resources to how we mine, process, move and market our products to our customers – safely, efficiently and responsibly. Our Sustainable Mining Plan commits us to a series of stretching goals over different time horizons to ensure we contribute to a healthy environment, create thriving communities and build trust as a corporate leader. We work together with our business partners and diverse stakeholders to unlock enduring value from precious natural resources for our shareholders, for the benefit of the communities and countries in which we operate, and for society as a whole. Anglo American is re-imagining mining to improve people’s lives.

Anglo American is currently implementing a number of major structural changes to unlock the inherent value in its portfolio and thereby accelerate delivery of its strategic priorities of Operational excellence, Portfolio simplification, and Growth. This portfolio transformation will focus Anglo American on its world-class resource asset base in copper, premium iron ore and crop nutrients, once the sale of our steelmaking coal and nickel businesses, the demerger of our PGMs business (Anglo American Platinum), and the separation of our iconic diamond business (De Beers) have been completed.

www.angloamerican.com

Group terminology

In this document, references to “Anglo American”, the “Anglo American Group”, the “Group”, “we”, “us”, and “our” are to refer to either Anglo American plc and its subsidiaries and/or those who work for them generally, or where it is not necessary to refer to a particular entity, entities or persons. The use of those generic terms herein is for convenience only, and is in no way indicative of how the Anglo American Group or any entity within it is structured, managed or controlled. Anglo American subsidiaries, and their management, are responsible for their own day-to-day operations, including but not limited to securing and maintaining all relevant licences and permits, operational adaptation and implementation of Group policies, management, training and any applicable local grievance mechanisms. Anglo American produces group-wide policies and procedures to ensure best uniform practices and standardisation across the Anglo American Group but is not responsible for the day to day implementation of such policies. Such policies and procedures constitute prescribed minimum standards only. Group operating subsidiaries are responsible for adapting those policies and procedures to reflect local conditions where appropriate, and for implementation, oversight and monitoring within their specific businesses.

Disclaimer

This document is for information purposes only and does not constitute, nor is to be construed as, an offer to sell or the recommendation, solicitation, inducement or offer to buy, subscribe for or sell shares in Anglo American or any other securities by Anglo American or any other party. Further, it should not be treated as giving investment, legal, accounting, regulatory, taxation or other advice and has no regard to the specific investment or other objectives, financial situation or particular needs of any recipient.

Forward-looking statements and third party information

This document includes forward-looking statements. All statements other than statements of historical facts included in this document, including, without limitation, those regarding Anglo American’s financial position, business, acquisition and divestment strategy, dividend policy, plans and objectives of management for future operations, prospects and projects (including development plans and objectives relating to Anglo American’s products, production forecasts and Ore Reserve and Mineral Resource positions) and sustainability performance related (including environmental, social and governance) goals, ambitions, targets, visions, milestones and aspirations, are forward-looking statements. By their nature, such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Anglo American or industry results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.

Such forward-looking statements are based on numerous assumptions regarding Anglo American’s present and future business strategies and the environment in which Anglo American will operate in the future. Important factors that could cause Anglo American’s actual results, performance or achievements to differ materially from those in the forward-looking statements include, among others, levels of actual production during any period, levels of global demand and product prices, unanticipated downturns in business relationships with customers or their purchases from Anglo American, mineral resource exploration and project development capabilities and delivery, recovery rates and other operational capabilities, safety, health or environmental incidents, the effects of global pandemics and outbreaks of infectious diseases, the impact of attacks from third parties on our information systems, natural catastrophes or adverse geological conditions, climate change and extreme weather events, the outcome of litigation or regulatory proceedings, the availability of mining and processing equipment, the ability to obtain key inputs in a timely manner, the ability to produce and transport products profitably, the availability of necessary infrastructure (including transportation) services, the development, efficacy and adoption of new or competing technology, challenges in realising resource estimates or discovering new economic mineralisation, the impact of foreign currency exchange rates on market prices and operating costs, the availability of sufficient credit, liquidity and counterparty risks, the effects of inflation, terrorism, war, conflict, political or civil unrest, uncertainty, tensions and disputes and economic and financial conditions around the world, evolving societal and stakeholder requirements and expectations, shortages of skilled employees, unexpected difficulties relating to acquisitions or divestitures, competitive pressures and the actions of competitors, activities by courts, regulators and governmental authorities such as in relation to permitting or forcing closure of mines and ceasing of operations or maintenance of Anglo American’s assets and changes in taxation or safety, health, environmental or other types of regulation in the countries where Anglo American operates, conflicts over land and resource ownership rights and such other risk factors identified in Anglo American’s most recent Annual Report. Forward-looking statements should, therefore, be construed in light of such risk factors and undue reliance should not be placed on forward-looking statements. These forward-looking statements speak only as of the date of this document. Anglo American expressly disclaims any obligation or undertaking (except as required by applicable law, the City Code on Takeovers and Mergers, the UK Listing Rules, the Disclosure Guidance and Transparency Rules of the Financial Conduct Authority, the Listings Requirements of the securities exchange of the JSE Limited in South Africa, the SIX Swiss Exchange, the Botswana Stock Exchange and the Namibian Stock Exchange and any other applicable regulations) to release publicly any updates or revisions to any forward-looking statement contained herein to reflect any change in Anglo American’s expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

Nothing in this document should be interpreted to mean that future earnings per share of Anglo American will necessarily match or exceed its historical published earnings per share. Certain statistical and other information included in this document is sourced from third party sources (including, but not limited to, externally conducted studies and trials). As such it has not been independently verified and presents the views of those third parties, but may not necessarily correspond to the views held by Anglo American and Anglo American expressly disclaims any responsibility for, or liability in respect of, such information.

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SOURCE: Anglo American