Mining group Anglo American is to sell off its non-core assets as part of a drive to streamline the business and generate cash.
In a statement, the company said: ÔÇ£Anglo American has determined that the following assets will be divested: Scaw Metals, Copebr├ís, Catal├úo and the GroupÔÇÖs portfolio of zinc assets.ÔÇØ
It will also sell its UK-based asphalt and concrete unit, Tarmac.
Tarmac could fetch about £2.4 billion, according to analysts.
Anglo bought Tarmac in 1999 for £1.2 billion, its first major acquisition since moving its headquarters from Johannesburg to London earlier that year. The purchase of Tarmac enabled the company to diversify and reduce its reliance on Africa and metals.
The company put the unit up for sale two years ago but withdrew it following a slump in commodity prices and construction activity.
Companies said to be interested in acquiring Tarmac include Paris, France-based Lafarge, the worldÔÇÖs largest cement maker, IrelandÔÇÖs CRH and Swiss firm Holcim.
Anglo also owns quarries and cement and asphalt manufacturing facilities in the UK.
AngloÔÇÖs Scaw Metals steel unit may fetch ┬ú600 million. Catal├úo, which produces the rare metal niobium, and the companyÔÇÖs Copebr├ís fertiliser unit could raise a combined ┬ú1.2 billion.
Anglo has already raised around £402 million from the third quarter sale of its stake in the South African sugar and starch producer Tongaat Hulett for £314 million; and its stake in South African aluminium processor Hulamin for £88 million.
It is thought that AngloÔÇÖs zinc mines could be sold prior to any of the other assets named today.
Together with Tarmac, all of the assets up for sale accounted for approximately 11 per cent of the groupÔÇÖs earnings before tax in 2008.
TodayÔÇÖs announcement marks the largest review of the company since chief executive Cynthia Carroll took over two years ago.
In a statement, Carroll said: ÔÇ£I believe that these actions will position Anglo American well for sustained, profitable growth in the commodities we have identified as being the most attractive.┬á
ÔÇ£The portfolio changes we have announced are the logical next step in focusing the Group on our core mining activities, enabling us to strengthen our balance sheet further.ÔÇØ
Sir John Parker, chairman, added: ÔÇ£TodayÔÇÖs announcement represents an important step in creating a more streamlined business, with enhanced focus on operational effectiveness and project delivery.┬á
ÔÇ£We have a truly world class portfolio of assets and these initiatives further improve our ability to deliver its full potential.ÔÇØ
Some City analysts are viewing the sales as an effort to streamline the business prior to any return takeover attempt by rival Xstrata in six monthsÔÇÖ time, when its ÔÇÿno-approachÔÇÖ period set by the UK Takeover Panel expires.
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