BHP Billiton spin off close to launching

 
Caitlin Morrison
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MINING company BHP Billiton has been in talks with potential investors over its spin off firm South32.

The new subsidiary, which is estimated to be worth $13bn (£8.7bn), consists of BHP’s unwanted mines and refineries.

BHP first announced the new venture in August last year, and in October revealed that the company will be listed in London, as well as in Australia and South Africa.

The group met with fund managers last week, having released shareholder documents two weeks ago.

Earlier this month, South32 boss Graham Kerr warned that investors in the firm should not expect rapid expansion or acquisitions in the short-term.

“We do believe in the concept of crawl, walk and run,” he said.

BHP Billiton declined to comment yesterday.

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