Rival bidders may challenge Anglo's bid for Teck Resources, analysts say

[Copper Sheets]
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Teck Resources (NYSE:TECK [https://seekingalpha.com/symbol/TECK]) +11% in Tuesday's trading following its merger agreement [https://seekingalpha.com/news/4493252-teck-and-anglo-american-to-combine-through-merger-of-equals] with Anglo American (OTCQX:AAUKF [https://seekingalpha.com/symbol/AAUKF]) (OTCQX:NGLOY [https://seekingalpha.com/symbol/NGLOY]) that will create one of the world's largest copper producers with a combined market value of more than $53B.

The new Anglo Teck company's six producing copper assets will form the backbone of the portfolio, alongside future growth projects in the Americas and southern Africa, with copper output forecast at 1.2M metric tons/year, rising to 1.35M tons/year by 2027.

The lack of a premium could open the door to rival bids, and Teck (NYSE:TECK [https://seekingalpha.com/symbol/TECK]) CEO Jonathan Price - who would become deputy CEO of Anglo Teck, while Anglo (OTCQX:AAUKF [https://seekingalpha.com/symbol/AAUKF]) (OTCQX:NGLOY [https://seekingalpha.com/symbol/NGLOY]) CEO Duncan Wanblad would retain the top post, and Teck Chair Sheila Murray would be chair of the combined company - told Reuters that any potential bidding war for the deal is out of the company's control [https://www.reuters.com/world/uk/anglo-american-teck-resources-merge-second-largest-mining-deal-ever-2025-09-09/].

Other companies could make a bid for Teck (NYSE:TECK [https://seekingalpha.com/symbol/TECK]), especially since the company’s value has been under problems related to the Quebrada Blanca mine has weighed on the company's value, National Bank analyst Shane Nagle.

"There are likely to be several interested parties willing to pay a premium valuation for the company’s portfolio pending further clarity on the ongoing ramp up of QB," Nagle said in a note.

The prospect of rival suitors likely will be a major question mark for investors, Berenberg analysts Richard Hatch and William Dalby wrote, noting that Glencore (OTCPK:GLCNF [https://seekingalpha.com/symbol/GLCNF]) (OTCPK:GLNCY [https://seekingalpha.com/symbol/GLNCY]) tried to acquire Teck (TECK [https://seekingalpha.com/symbol/TECK]) in the past and might be considered a potential rival bidder again, but cultural differences could hinder its chances.

"We think BHP could also be a potential interloper, given the ability to scale up its own copper business, but the best synergies appear to be coming through a deal with Anglo American," the Berenberg analysts said.

"It’s not just Teck that's in play," Canaccord Genuity analyst Dalton Baretto told BNN Bloomberg TV, believing Anglo (OTCQX:AAUKF [https://seekingalpha.com/symbol/AAUKF]) (OTCQX:NGLOY [https://seekingalpha.com/symbol/NGLOY]) is just as vulnerable to a rival takeover offer as Teck.

"In many ways, a bid for Anglo American is almost more likely than a bid for Teck, just because there’s less... frictions," Baretto said [https://www.bloomberg.com/news/articles/2025-09-09/anglo-american-has-put-itself-in-play-with-teck-offer-canaccord-says?srnd=homepage-americas]. "You wouldn't have to go through an Investment Canada rigorous review. You wouldn’t necessarily need to deal with the dual-class share structure. And Anglo ticks a lot of the same boxes that Teck does, but at a bigger scale."

"We have been expecting a new wave of M&A in mining, and this could be the start of it," Jefferies analysts wrote.

The Anglo-Teck deal has a US$330M break fee, while the companies say they expect the merger to be completed in the next 12-18 months.

MORE ON TECK RESOURCES AND ANGLO AMERICAN

* Teck Resources May Be In Play With A Lackluster Merger Bid [https://seekingalpha.com/article/4821003-teck-resources-may-be-in-play-with-lackluster-merger-bid]
* Teck Resources-Anglo American M&A Call - Slideshow [https://seekingalpha.com/article/4820879-teck-resources-limited-teck-b-ca-anglo-american-plc-m-and-a-call-slideshow]
* 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]