STORY: Anglo American's boss said on Tuesday (May 14) a takeover bid by rival BHP had forced him to accelerate plans for a spin-off of the company's South African platinum assets.
On Tuesday (May 14), the London-listed miner laid out a strategy that includes a potential break-up of the group.
That's via demerging or selling its steelmaking coal, nickel, diamonds and platinum businesses.
The announcement comes after Anglo twice rejected approaches by Australian miner BHP.
A pre-condition of BHP's bids has been that Anglo exit its platinum and iron ore units in South Africa.
That would drastically reduce its presence in the country where Anglo was founded more than a century ago.
CEO Duncan Wanblad said the company had already been working on its own review of assets.
BHP's bid, however, had sped up the timeline.
The Anglo strategy would include demerging from South African platinum unit Amplats.
It's shares tumbled 10% on Tuesday.
Anglo is also looking to divest or demerge from global diamonds giant De Beers, which has mines in Botswana, Namibia, South Africa and Canada
Shares in Kumba Iron Ore, which would stay in the group under the plan, rose 2.3% on Tuesday - reversing earlier losses.
Wanblad said Anglo was committed to South Africa and not "actually leaving" in "any way, shape or form".
But the planned break-up does raise the prospect of more job losses in South Africa's mining sector.
That follows thousands of cuts already announced by Anglo due to lower metals prices.
It also comes in the run up to an election in which weak economic growth and high unemployment are key issues on voters' minds.
South Africa's Mines Minister Gwede Mantashe said he had no issues with the proposed demerger of Amplats, even if the ultimate fate of the business remains unclear.
He added that he hoped Anglo would continue resisting BHP's takeover offer, which was most recently raised to $43 billion.
