Anglo American (AAL.L) is nearing a deal to acquire Canadian miner Teck Resources (TECKb.TO) that could value it at about $20 billion, Financial Times reported on Monday, citing people familiar with the matter.
The London-listed global miner is considering paying mostly in stock, with an announcement potentially expected as early as this week, the report added.
However, the timing and terms of the deal remain uncertain, and talks could still collapse without an agreement, according to Bloomberg News, which first reported on the potential deal.
Teck Resources holds a market valuation of approximately C$23.69 billion (about $17.17 billion), while Anglo American is valued at around 26.82 billion pounds (roughly $36.35 billion), as per LSEG data.
Both Anglo American and Teck have drawn interest from larger rivals in recent years. Anglo fended off a $49 billion takeover proposal from BHP Group last year, while Teck rejected a full buyout offer from Glencore in 2023 for $22.5 billion.
Reuters could not immediately verify the report. Teck, Anglo American and Glencore did not immediately respond to Reuters' requests for comment.
Anglo and Teck companies have also been streamlining their portfolios. Anglo has exited platinum mining and is seeking buyers for its coal mines and De Beers diamond unit.
Last Wednesday, Teck said it is carrying out a company-wide review and would deferred approvals for major growth projects until its flagship Quebrada Blanca (QB) copper mine in Chile stabilizes output. The mine has been hit by tailings issues expected to weigh on production into 2026.
Teck owns 60% of the QB mine, which sits near Anglo's Collahuasi mine, operated jointly with Glencore and a Japanese consortium.
On an analyst call last week, Teck CEO Jonathan Price said the company was exploring possible synergies between QB and Collahuasi to boost efficiency and production.
($1 = 1.3797 Canadian dollars)
($1 = 0.7378 pounds)
