Anglo Platinum's bumper dividend before demerger

17 February 2025 - 12:26
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The gross dividend has been declared from retained earnings generated from profits typical of ordinary trading activities, Amplats said. File photo.
The gross dividend has been declared from retained earnings generated from profits typical of ordinary trading activities, Amplats said. File photo.
Image: REUTERS/MICHAEL DALDER

Anglo American Platinum is trading 3.95% higher at R682 a share on the JSE after news of a bumper R16.5bn dividend during the year ended December 2024.

The dividend comprises R0.8bn or R3 per share equal to 40% of the headline earnings in line with the company's dividend policy and R15.7bn or R59 per share representing an additional cash dividend.

“The gross dividend has been declared from retained earnings generated from profits typical of ordinary trading activities.”

The company said payment of the additional cash dividend forms part of Anglo American Platinum's finalisation of its stand-alone capital structure. Parent company Anglo American, which holds a 67% stake in Anglo American Platinum, expects to receive $0.6bn from these dividends.

Anglo American group CEO Duncan Wanblad said the company is clear on its timeline towards demerging Anglo American Platinum by June.

He said the group intends to retain a 19.9% shareholding in Anglo American Platinum to further help manage flowback by reducing the absolute size of the shareholding that will be demerged.

“Anglo American will no longer have any representation on the Anglo American Platinum board post demerger and we intend to exit our residual shareholding responsibly over time, and subject to customary lock-up arrangements,” Wanblad said.

Anglo American is scheduled to seek shareholder approval for the demerger of Anglo American Platinum at Anglo American's AGM in April, subject to governance and regulatory approvals.

Business Times


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