Industry Minister Mélanie Joly has given the green light to the merger between Canadian natural resources company Teck Resources Ltd. and the UK’s Anglo American PLC. Joly stated that she believes the merger will benefit Canada and described it as a significant achievement.
Teck and Anglo American both confirmed the approval separately, labeling the deal as a “merger of equals,” despite Anglo American having a value more than double that of Teck. Shareholders endorsed the plan last week, initially announced in September, to establish Anglo Teck, a $70 billion copper mining powerhouse.
As part of the agreement, the company’s headquarters will be located in Vancouver, with the majority of its executives and board members also based there. Joly disclosed that the companies have made commitments, including safeguarding approximately 4,000 Canadian jobs and investing $4.5 billion in Canada over the next five years.
Joly emphasized that the approval reinforces the federal government’s objectives to bolster the economy and position Canada as a key player globally. She highlighted the significance of Anglo Teck, based in Vancouver, as a leading Canadian entity on the international stage.
B.C. Premier David Eby expressed his enthusiasm for the merger on social media, praising the establishment of Anglo Teck as the largest company in the province’s history. He anticipates the company’s contribution to economic growth in the Northwest region and the creation of employment opportunities across British Columbia.
Teck CEO Jonathan Price remarked that the approval will advance the formation of a “global critical minerals champion.” The completion of the merger is contingent upon meeting standard transaction requirements, including obtaining regulatory approvals in various jurisdictions worldwide. Notably, the merger has already received competition clearances in Canada and Australia, with ongoing reviews in progress in other regions.