BHP Billiton CEO says return of cash to shareholders possible once net debt falls to USD 25bn
BHP Billiton chief executive Andrew Mackenzie said the listed Anglo-Australian mining group could return cash to shareholders once its debt is cut to USD 25bn (EUR 18.00bn). Mackenzie, quoted in a Sunday Times report, said BHP will give serious thought to increasing cash returns to investors when it cuts net debt to USD 25bn.
BHP could reduce its debt that much as early as June, the item said. The company launched a previous USD 10bn share buyback in 2011, the article noted.
The report cited analysts at UBS who estimated that BHP could spend USD 5bn on new share buybacks. The analysts believe BHP could announce the buyback when it publishes its FY results in August, the item added.
BHP Billiton’s market capitalisation currently stands at USD 165.96bn.
Source Sunday Times