https://www.miningweekly.com
Business|Coal|Mining|Paper|Resources
Business|Coal|Mining|Paper|Resources
business|coal|mining|paper|resources

Glencore will likely sweeten $23bn Teck bid, analysts say

3rd April 2023

By: Bloomberg

  

Font size: - +

Glencore will likely sweeten its $23-billion proposal for Teck Resources, according to mining analysts, positing that a deal could still happen despite the company’s rejection.

Analysts at Royal Bank of Canada and Jefferies Group said the UK mining giant will have to raise its bid to woo Teck shareholders and win over the Keevil family that controls the Vancouver-based company through a dual-class share structure.

Jefferies analyst Christopher LaFemina said in a note that while Glencore’s proposal is “compelling on paper,” a higher price and/or “cash kicker” is clearly needed. An improved offer is likely, he said, though “it is not clear that a modestly higher price is all that is necessary.” Meanwhile, RBC analysts led by Tyler Broda called the offer “relatively modest” that “potentially leaves room for Glencore to return.”

Glencore faces a tight deadline to sweeten its proposal. Teck’s plan to separate its coal business and wind down the dual-class share structure will go to a shareholder vote on April 26. Glencore CEO Gary Nagle told investors in a Monday conference call that its proposal can’t be implemented if Teck’s shareholders approve that plan.

 

Edited by Bloomberg

Comments

Showroom

Aqs image
AQS Liquid Transfer

AxFlow AQS Liquid Transfer (Pty) Ltd is an Importer and Distributor of Pumps in Southern Africa

VISIT SHOWROOM 
SABAT
SABAT

From batteries for boats and jet skis, to batteries for cars and quad bikes, SABAT Batteries has positioned itself as the lifestyle battery of...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.167 0.207s - 129pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: