Unlock the Editor’s Digest totally free
Roula Khalaf, Editor of the FT, selects her favorite tales on this weekly e-newsletter.
A consortium led by Glencore has struck a $9bn deal to purchase the coal enterprise of Teck Resources, because the London-listed mining and buying and selling big doubles down on the fossil gas.
Glencore can pay $6.9bn in money for a 77 per cent stake within the enterprise, the corporate stated on Tuesday. Japan’s Nippon Steel and South Korea’s Posco will personal the remainder.
The acquisition comes simply over six months after Glencore supplied to purchase the entire of Toronto-listed Teck, an method that was rebuffed by the board of the Canadian firm constructed by 85-year-old mining magnate Norman Keevil.
The resolution to amass Teck’s coal enterprise could herald the break-up of Glencore. During its pursuit of Teck this yr, Glencore had set out plans to ultimately spin off the Canadian steelmaker’s coal enterprise and its personal unit right into a separate firm.