Anglo American nears deal to acquire Teck Resources for $20B - FT

[Copper Sheets]
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Teck Resources (NYSE:TECK [https://seekingalpha.com/symbol/TECK]) +23.9% post-market Monday after the _Financial Times_ reported Anglo American (OTCQX:AAUKF [https://seekingalpha.com/symbol/AAUKF]) (OTCQX:NGLOY [https://seekingalpha.com/symbol/NGLOY]) is nearing a deal to acquire [https://www.ft.com/content/786c4546-3a40-4388-97aa-74b94d63e568] the Canadian miner for ~$20B, with an announcement potentially coming as soon as this week.

The deal would mark a major bet on copper by Anglo American (OTCQX:AAUKF [https://seekingalpha.com/symbol/AAUKF]) (OTCQX:NGLOY [https://seekingalpha.com/symbol/NGLOY]), with Teck Resources (NYSE:TECK [https://seekingalpha.com/symbol/TECK]) set to produce as much as 525K metric tons this year with plans to significantly expand production by the end of the decade.

The timing and terms of the deal remain uncertain, and talks could still fail to reach an agreement, according to Bloomberg News, which first reported on the potential deal.

Both Anglo American (OTCQX:AAUKF [https://seekingalpha.com/symbol/AAUKF]) (OTCQX:NGLOY [https://seekingalpha.com/symbol/NGLOY]) and Teck (TECK [https://seekingalpha.com/symbol/TECK]) have attracted interest from larger rivals in recent years: Anglo evaded a $49B takeover proposal from BHP last year, while Teck rejected a buyout deal from Glencore in 2023 for $22.5B.

MORE ON TECK RESOURCES

* Teck Resources: From Coal To Copper And Beyond [https://seekingalpha.com/article/4812932-teck-resources-stock-from-coal-to-copper-and-beyond-hold-for-now]
* Teck Resources: All In On Copper [https://www.ft.com/content/786c4546-3a40-4388-97aa-74b94d63e568]
* Concrete Steps For The New Anglo American - Buy Confirmed [https://seekingalpha.com/article/4800868-concrete-steps-new-anglo-american-buy-confirmed]