Ivanhoe’s Kipushi zinc mine in the DRC officially reopens
The restart marked exactly a century since the mine first went into production.
Some of Anglo American’s top shareholders are demanding that CEO Cynthia Carroll be shown the door, according to a report by the Telegraph.
With a share price down 26% in six months, shareholders fear that the world’s largest platinum producer could be the target of a hostile takeover.
Those who have lost their faith in the company’s leadership, have contacted the chairman of Anglo American, John Parker, demanding that he begin looking for another CEO.
“We want to get the ball rolling and [get] fresh management as soon as possible. These things take a while and Anglo American is vulnerable – if Glencore got its act together Anglo American is a sitting duck,” says an unnamed investor in speaking to the Telegraph, with another saying, “. . . the company is suffering from bad execution, a poor strategy, and a crisis of confidence in the leadership. We haven’t been happy for a while but the last set of results was the coup de grâce.”
Since Cynthia Carroll took the reins in March 2007, the company’s share price has dropped over a third during the length of her tenure.
Last month MINING.com reported Anglo American’s net profits dropped 40% for the first half of the year.
Anglo also announced another setback to its flagship iron ore project, Minas Rio, in Brazil where regional courts upheld a ruling that prohibits development within 250 meters of sites of ‘environmental importance.’ It is not known if this will further delay the Minas Rio mine which has already been set back a year due to licensing issues.
“We are in a very challenging country and environment.” Carroll said at the time. “There are 50 projects that have been put into the delay category.”
Read about Anglo American’s financial results here >>
(Image, Cynthia Carroll, Youtube)
3 Comments
South African
Pity though that shareholders know ROI. Not much worried about operational circumstances and prevailing conditions. I guess we ought to understand it is a double edged sword and careful consideration and patient must be observed. By the way getting a new CEO doesn’t guarantee ROI just like any fertilized soils wouldn’t guarantee good harvest if you ignore prevailing conditions
South African
It is very unrealistic to expect Cynthia to push Platinum price up. She did her best to save Anglo during bad economic season, shareholders must be patient, this season might pass. you can not start firing employees because you are not pocketing billions anymore. this is like marriage we go any good and bad seasons together.
as south Africans we are not expecting any firing or retrechment, Anglo has come to SA to do business with us and let business continue. if they can not, they must tell ANC lead Govermnet that they can not so that we can consider other countries that can create employmet for South Africans, coutries like China etc. South Africans must benefit from Platinum wealth not only hareholders.
Jo'burger
Looking at the Anglo performance during her tenure would make any shareholder uncomfortable, it all happened before her eyes. Capex cuts, dividend freeze, asset dumping etc. Just look at BHP and Vale, shareholders have been smiling over the past 5-3 FYs, she must as a CEO be able spot opportunities, COAL, BASE METALS, IRON ORE where supposed to be pushing the margins up as Kolomela project is now ramping up…so there is definately no strategic leadership at Anglo.