AngloGold Ashanti declares first dividend since 2013
Gold miner says a higher gold price, reduced interest payments and cost control measures stimulated cash flow
AngloGold Ashanti, the world number-three gold miner, declared its first dividend since 2013 on the back of improved cash flows as the company outlined plans to invest in internal projects instead of looking for mergers or acquisitions to sustain its production. AngloGold, which has 17 mines around the world and generates three-quarters of its gold outside SA, posted a 130c per share dividend for the full year to end-December 2016. AngloGold swung to a profit of $80m for the year compared with a $70m loss the year before. The company’s cash flow was stimulated by a higher gold price, reduced interest payments on debt after it removed its most expensive bond from its balance sheet, and cost control measures. Free cash flow for the year was $278m compared with $141m the previous year and it was the steady improvement in cash flow since the last dividend declaration in 2013 that gave the AngloGold board confidence it could sustainably return to paying cash to shareholders, said chief f...
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