All Eyes on Anglo American After Glencore Cedes to Investors
- Traders pricing in a cut to Anglo's dividend, Investec says
- Dividend yield reached 9%, an all-time high for the company
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Glencore Plc’s billionaire chief executive caved this week to shareholder demands that the commodity-trader bolster its balance sheet. Now attention is turning to whether rival Anglo American Plc will follow.
The two companies have been among the hardest hit by China’s cooling demand for commodities on concern they’ll be unable to withstand raw-material prices at a 16-year low and pay off a combined $43.5 billion in debt. Measures might include cutting its dividend, which yielded a record 9.5 percent last month, higher than the level in 2009, when the company last scrapped the payout.