Anglo American Replaces Deloitte with PwC as its External Auditor
Multinational mining company Anglo American has replaced Deloitte with PwC as its new auditor. As a result of the decision made by Angelo American, PwC will take over the position of external auditor to the mining company from Deloitte which held the said position since past 19 years.
The FTSE 100 company has said that Deloitte will continue in its position as external auditor for the fiscal year ending December 31, 2019. The big four firm first audited the company, which is also listed on the South African stock exchange, in the year 1999. The company has stated that the main reason behind replacing Deloitte as its external auditor are EU and UK rules and regulations regarding mandatory rotation of audit firms.
The decision to appoint PwC as its external auditor was made after following the execution of a formal competitive tender process. The company’s board has said that PwC will audit the company’s fiscal year ending December 31 2020.
The appointment of PwC will be subject to approval from the shareholders at the company’s annual general meeting to be held in 2020.
According to the company’s 2018 annual report, Deloitte received £7m for auditing Anglo American, comprised of $1.7m for audit work performed on the UK company while $7.6m for auditing work performed on overseas companies. The big four firm also received $2.5m from the company for non-audit services.