Hargreaves Lansdown analyst Susannah Streeter said: “The buyout offer from BHP — the world’s largest publicly listed miner — for Anglo American won’t just shake up the mining industry, it’ll send a fresh chill through the City.

“There are concerns that if the deal goes through it could be the tip of the iceberg — and more giants could leave the exchange.”

Australia-listed BHP is using its own stock to offer £25.08 a share and said it will spin off Anglo’s South African assets to investors.

The move sparked opposition from South African politicians.

Shares in Anglo American soared by 355p, or 16.1 per cent, to £25.60, valuing the company at £34.2 billion — suggesting investors bet BHP will have to sweeten its offer considerably. Top shareholders have voiced concern that BHP is trying to wrangle a takeover on the cheap — even though Anglo’s shares have been drifting below its peers.

Anglo’s 11th biggest shareholder Legal & General said yesterday it had “concern” about the “highly opportunistic approach”.

L&G’s head of climate solutions Nick Stansbury said: “We believe the valuation of Anglo American to be depressed and regard the proposed exchange ratio as an unattractive proposition for long-term investors.”

Anglo and its army of advisers are reviewing the “unsolicited, non-binding and highly conditional” offer ahead of a May 22 bid deadline. Analysts said the takeover marks “crisis time” for the LSE because it ­suggests UK PLC is up for sale.

Sainsbury’s hope on inflation

Sainsbury’s boss Simon Roberts reckons food inflation will continue to fall — despite higher wages and poor crop harvests.

The chief executive also said the supermarket is winning shoppers from both discounters and upmarket rivals.

Sainsbury’s sold three times as many legs of lamb at Easter as in the previous year, as it cut prices. But Mr Roberts said a surge in sales of its Taste the Difference range suggested shoppers were no longer entirely driven by price.

The chain yesterday unveiled a 3.8 per cent rise in sales to £32 billion for the year to March 2, helped by a 9.4 per cent increase in its grocery sales.

It is targeting £1 billion of profits this year, after reporting headline profits of £966 million.

Sainsbury’s posted a 6.4 per cent slip in its annual clothing sales, which it blamed partly on disruptions to its Red Sea supply chain and partly on its “own misses” on ranges.

Bank slip number 2

Barclays has posted a 12 per cent slip in profits on the back of a weaker mortgage market and passing on more interest.

It revealed profits for the first quarter of £2.3 billion — a day after Lloyds nursed a 28 per cent drop in profits.

Barclays said UK operations income fell 7 per cent as higher interest rates hit demands for credit cards and loans. It also reported a 2 per cent drop in deposits due to rivals’ new account offers.

Sales take off

WH Smith has been boosted by holidaymakers buying more food and beauty products from its airport shops.

The retailer plans to open 110 more around the world this year as its efforts to sell a wider range of products pays off. Total sales grew by 9 per cent to £926 million. Chief executive Carl Cowling said WH Smith was in its “strongest ever position as a global travel retailer”.

Headline profits inched up to £46 million. Pre-tax profits fell 37 per cent, with store lease writedowns of £28 million.

Confidence of consumers continues to grow, according to the closely watched GfK Index. April’s overall score is still negative at -19 — but a big improvement on last year’s -30. Brits feel most positive about their finances at 2 points compared with last April’s -13.

Unilever shift

Unilever’s retreat from some of its environmental targets shows the business is now more focused on realism, its boss said yesterday.

The consumer goods firm has been attacked for its woke agenda such as trying to give a social purpose to its Hellmann’s mayonnaise. It has now pushed back the target for plastic reductions, and narrowed its social remit.

Boss Hein Schumacher said the firm is aiming for realism, adding: “We can all promise the earth but it is important to have achievable targets.”