Anglo American to sell nickel business for up to $500 million
Feb 18 (Reuters) - Anglo American (AAL.L), opens new tab said on Tuesday it will sell its nickel business to a unit of Hong Kong-listed MMG Ltd (1208.HK), opens new tab for up to $500 million, as part of a broader restructuring aimed at refocusing its operations on copper and iron ore mining.
The deal comprises an upfront cash consideration of $350 million at completion, the potential for up to $100 million in a price-linked earnout and a contingent cash consideration of $50 million linked to an investment decision for development projects related to the nickel business, Anglo American said.
In September, Anglo American said it had hired financial advisers to sell two nickel mines in Brazil.
The assets together produce about 38,000 tons of nickel per year.
London-listed Anglo American in May rebuffed a $49 billion hostile bid from the world's biggest miner BHP (BHP.AX), opens new tab, which was focused on Anglo's copper assets.
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