LONDON, Aug 23 (Reuters) – Anglo American and copper
mining giant Codelco have ended a bruising 10-month long
dispute, with the global miner agreeing to sell its Chilean
rival a stake in its coveted south-central Chilean properties at
a discount to the market price.
Under the deal, which draws a line under a dispute over
assets including Anglo’s Los Bronces copper mine, potentially
one of the world’s largest, Anglo will sell a 24.5 percent stake
in its Anglo American Sur assets to a joint venture between
Codelco and Japanese partner Mitsui & Co for $1.7
billion in cash.
The Codelco-Mitsui partnership will buy an additional 5
percent shareholding for another $1.1 billion, with shares made
up 0.9 percent from Anglo and 4.1 percent from another
shareholder in the properties, Japanese trading house Mitsubishi
Corp.
As a result of the deal, Anglo will be left with a 50.1
percent shareholding, while Codelco’s joint venture will hold
29.5 percent.
The deal has been done at a discount to the original
valuation of the option, which suggested a price for the 24.5
percent at around $2.8 billion – below the original $3 billion
after copper prices fell.
