The new company’s 35% of the shares will be listed on London stock exchange, while AngloGold will retain the remaining 65% stake.

AngloGold Ashanti chairman Sipho Pityana said: "It has become increasingly clear that the two distinct parts of our portfolio require different strategies, focused management and should be appropriately capitalized to realize their full potential and unlock further value for shareholders."

AngloGold Ashanti CEO Srinivasan Venkatakrishnan said: "The South African regulatory authorities have been supportive in clearly understanding the strategic rationale of this proposed transaction, and also the benefit to be unlocked given our specific set of circumstances.

"These two very distinct sets of assets will benefit from the more focused structure and capital

The restructuring process is expected to be completed in 2015. Proceeds from the rights issue would be used to repay existing debt ahead of restructuring.

UBS and Goldman Sachs International are providing financial advisory services for the transaction and proposed capital raising.

AngloGold Ashanti operates 20 gold mines in ten countries worldwide, and has produced around 4.1 million ounces of gold in 2013.