Anglo American’s shares have been in play since news of the potential deal emerged. BHP’s timing is considered opportune as many of its competitors are currently engaged in other transactions or are not in a position to make a move. This deal is also significant for London as it will further reduce the city’s role as a center for financing the global mining sector.
Analysts believe that Anglo would be a good strategic fit for BHP or another major miner, citing potential synergies, asset quality, and exposure to commodities, particularly copper. Anglo’s portfolio of tier-1 assets, located in low-risk jurisdictions, makes it an attractive acquisition target.
