Industry Minister Mélanie Joly has given the green light to the merger between Teck Resources Ltd., a Canadian natural resources company, and Anglo American PLC from Britain. Joly stated that after her evaluation, the merger is deemed beneficial for Canada and hailed it as a significant victory.
Both Teck and Anglo American have confirmed the approval separately, labeling the agreement as a “merger of equals,” despite Anglo American’s value being more than double that of Teck’s. Shareholders endorsed the plan last week, which was initially announced in September, to establish Anglo Teck, a copper mining powerhouse valued at $70 billion.
As part of the approval conditions, the merged entity will have its headquarters in Vancouver, where most of the company’s executives and board members will be based. Joly highlighted that the companies have agreed to commitments including safeguarding approximately 4,000 Canadian jobs and investing $4.5 billion in Canada over a five-year period.
Joly expressed satisfaction with the federal government’s commitment to strengthening the economy, stating, “Anglo Teck, headquartered in Vancouver, will stand as a true Canadian champion on the global platform.”
B.C. Premier David Eby also praised the merger on social media, calling it “great news” and emphasizing the potential for prosperity and job creation across the province. Teck CEO Jonathan Price lauded the approval as a step towards establishing a “global critical minerals champion.” The completion of the merger is pending customary conditions for such transactions and regulatory approvals in various jurisdictions worldwide, with approvals already secured in Canada and Australia, and ongoing reviews in progress elsewhere.