With a spinoff of its aluminum, manganese, nickel, silver and some of its coal assets, BHP Billiton (LSE: BLT; ASX: BHP) is going back to basics in a drive to simplify its portfolio.
The “demerger” would create two companies with complementary portfolios and allow the mining giant to focus on its “four pillars” of iron ore, copper, coal and petroleum, as well as a potential fifth – potash.
In a briefing to analysts and investors on the rationale behind the move, BHP’s chief executive officer, Andrew Mackenzie, noted that the four pillars contribute to the vast majority of the company’s underlying EBITDA (earnings before interest, taxes, depreciation and amortization), and offer the most compelling margins, growth and investing options.
Read the complete article at NorthernMiner.com/news/bhp-plans-spinoff
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