Ottawa approves merger of Teck and Anglo American
Teck Resources Ltd. (TECK.B-TSX, TECK.A-TSX, TECK-NYSE) and South African giant Anglo American Plc [LON-AAL] have received regulatory approval from the Government of Canada under the Investment Canada Act (ICA) for their previously announced merger of equals.
Anglo American and Teck have said they believe that the formation of Anglo Teck in a $50 billion all share merger will provide exceptional and enduring benefits for Canada, founded upon establishing a global critical minerals champion headquartered in Canada.
Ango American and Teck set out a number of proposed commitments in their September, 2025 announcements which have been further defined in a set of binding commitments under the ICA. The commitments include that Anglo Teck will spend at least $4.5 billion in Canada within five years, including in connection with the Highland Valley Copper mine life extension, enhancing critical minerals processing in Trail, B.C. and advancing the Galore Creek and Shaft Creek copper projects in northwestern B.C.
Such expenditures will enable Anglo Teck to spend at least $10 billion in Canada over 15 years.
Teck’s Class B common advanced on the news, rising 1.4% or 85 cents to $60.15. The shares trade in a 52-week range of $64.24 and $40.23.
The combined company will emerge as a top five global copper producer with combined annual copper production of 1.2 million tonnes, increasing by 10% to 1.35 million tonnes from a portfolio fo long-life assets including the Collahuasi, Quebrada Blanca, and Los Bronces mines in Chile, the Antamina and Quellaveco mines in Peru and Highland Valley Copper mine in British Columbia.
Ango Teck will also rank as a major producer of iron ore, and one of the world’s largest producers of zinc via the world-class Red Dog mine in Alaska and fully-integrated zinc and lead smelting and refining facilities at Trail, B.C.
The combined company is looking to pre-tax recurring annual synergies of US$800 million, and an additional US$1.4 billion of underlying EBITDA revenue synergies between the adjacent Collahuasi and Quebrada Blanca operations on an average pre-tax annual basis from 2030 to 2049, which is expected to result in an increase of 175,000 tonnes of potential additional copper production.
“The Government of Canada’s approval is an important step forward for the formation of Anglo Teck—a new global critical minerals champion headquartered in Canada,’’ said Teck President and CEO Jonathan Price. “This merger will combine two world-class companies to form a business of significant scale and capability that will deliver billions in investment and drive new economic activity and job creation here in Canada and beyond.’’
The merge of Anglo American and Teck was approved by each company’s shareholders at meetings held on December 9, 2025. Completion of the merger remains subject to conditions customary for transactions of this nature, including relevant regulatory approvals. At completion Anglo Teck will have its primary listing on the LSE, retaining FTSE UK index conclusion, as well as listings on the JSE, TSX and NYSE.