AngloGold rights offer to cut hedge, fund development

JOHANNESBURG, May 6 (Reuters) - AngloGold Ashanti Ltd (ANGJ.J), the world's third biggest gold producer, announced on Tuesday an estimated 11.9 billion rand ($1.6 billion) share rights offer in a bid to improve its financial position.

The mining firm, which is 41.6 percent owned by Anglo American Plc (AAL.L) (AGLJ.J), said it would issue about 69.4 million shares and use proceeds to restructure and reduce its hedge position and fund development and exploration projects. (Reporting by Paul Simao)