New Teck Resources bid could go directly to shareholders, Glencore says – by Eric Reguly (Globe and Mail – April 28, 2023)

Glencore, the Swiss commodities giant in pursuit of Teck Resources Ltd. has threatened to take any new offer directly to Teck shareholders unless the board of the Canadian company opens negotiations that might lead to the merger of the two companies.

In a statement issued Thursday morning, one day after Teck withdrew a shareholders’ vote to split the company in two, Glencore reiterated its willingness to improve its opening, US$23-billion all-share merger offer.

“We believe that with engagement, we could further improve our proposal’s structure, terms and value,” Glencore said. “Glencore remains willing to make an offer directly to Teck shareholders if there continues to be no engagement with the Teck board.”

But Teck, led by chief executive officer Jonathan Price, has given no indication that it will negotiate with Glencore and the company remains effectively takeover-proof unless the owners of the class A shares, with 100 votes apiece, agree to a deal (the widely held class B shares have a single vote but represent most of the equity).

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