03.03.2020 Финансы, банки

Market-signals 03.03.2020

INVESTMENT IDEAS

Today we will look at one debt security as investment idea for this week: AngloGold Ashanti

IDEA #1: AngloGold Ashanti

Against the backdrop of the departure of global investors in protective assets, we turn our attention to Eurobonds of gold mining companies, in particular, to the issue of the multinational AngloGold Ashanti corporation with maturity in 2040. Along with Newmont and Barrick, the issuer is among the three largest gold producers in the world - in 2019 mined 3.3 million ounces. Founded in 2004, AngloGold Ashanti operates in 10 countries, including South Africa, Australia, Argentina, Brazil, the USA, Namibia and Tanzania. The company's branches employ 44 thousand people, its exchange capitalization reaches $ 8 billion.

On February 21, the company presented consolidated data for 2019, showing an increase in profitability. Debt load AngloGold Ashanti is at a comfortable level.

Moody’s and Fitch have an investment rating of AngloGold Ashanti, S&P - BB +. All three Big Three agencies hold a stable outlook on the issuer.

$ 300 million senior unsecured AngloGold Ashanti issue was placed in April 2010. The global market for emissions. The nominal value and minimum lot on paper are $ 1,000. Note that the Eurobond is serviced by NSD.

Note that the paper looks very interesting against the background of papers from world gold mining companies.

Alexey Shternshis
Joint Managing Director
Capital Pi

https://capitalpi.fund/market-signals-200303