Anglogold Ashanti’s share price soared almost 6% in early trade on the JSE on the back of a firmer gold price and as South Africa’s third-biggest miner appointed former BHP Group executive Alberto Calderon to its top job.
AngloGold hasn’t had a permanent CEO since Kelvin Dushnisky’s abrupt departure last September after holding the position for just two years, reports Bloomberg.
By 11.14 am, in brisk trade on the JSE, the stocks were changing hands 5.52% higher at a seven month high of R292.17 a piece. That pared the stock’s losses over the past 12 months to 42%, according to Bloomberg.
Gold gained 1.25% and was last trading at $1808.19 an ounce, boosting other mining counters DRDGold (+3.82% at R15.51), RBPlat (+2.36% at R108.09), Gold Fields (+2.06% at R135.60) and Harmony (+2% at R56.56).
The overall bourse was trading in the green at 66,252.43 points.
Bloomberg reports Calderon, a 61-year-old Colombian and Ivy League economist who once served as a junior minister in a government that fought drug lord Pablo Escobar, will join AngloGold on September 1.
Yesterday, Sanlam Private Wealth’s Nick Kunze chose AngloGold as his stock pick of the day in Business Day TV’s daily show, citing a stronger gold price and single-digit PEs (price-earnings ratio). “It is something to park your cash in in this tug of war in uncertain times. I think that’s good value, ” he said.
Calderon, who gained experience in South Africa during his time as head of BHP’s aluminium business, was CEO of both Cerrejon Coal and Ecopetrol in his home country of Colombia. Prior to that, he held leadership positions at the International Monetary Fund, reports Bloomberg.
