Shares in miner Anglo American (LON:AAL) rose over 8 percent on Thursday, after Indian billionaire Anil Agarwal announced his intention to take a 12 percent stake in the company.
The stake will be worth around £2 billion and will be made through Agarwal’s family trust, Volcan Holdings. In a statement, he called Anglo American an “attractive investment”, adding that he was “delighted to become a shareholder”.
The news comes just a month after Anglo American reported a pre-tax loss of $5.5 billion for 2016, alongside plans to sell assets worth between $3 – $4 billion to fill the hole in the balance book. These will nclude Kumba Iron Ore, Africa’s biggest miner of the steel-making ingredient.
Shares in the company were up 8.20 percent by 1247GMT at 1292.50.