Anglo approach to Minorco

Anglo American, the South African mining and financial giant, has approached its affiliate company Minorco about a move which "may have an effect on the share price of each company", the Luxembourg-based mining group announced yesterday. Minorco is 46 per cent owned by Anglo, while the De Beers diamond group holds a 23 per cent stake and the Oppenheimer family controls a further 7 per cent.

Minorco, which mainly runs Anglo's non-African, non-diamond mining operations, has been hit by the slump in world commodity prices. Last month, it warned it was considering cutting its dividend for the first time in its 70-year history.