Indian billionaire to buy R31.5 billion stake in Anglo

Indian mining billionaire Anil Agarwal (pictured) intends to purchase R31.5 billion of JSE-listed Anglo American shares in the market; a deal which would make him the company’s second-largest shareholder, second to the Public Investment Corporation (PIC).

Agarwal said in a statement that the purchase will be funded via a mandatory exchangeable bond issued by his holding company, Volcan Investments, and secured by Anglo's shares.

He said:

"This is an attractive investment for our family trust… Anglo American is a great company with excellent assets and a strong board and management team who are executing a focused strategy to drive shareholder value. I am delighted to become a shareholder in Anglo American."

Agarwal further said that he will not be making a takeover bid.