Glencore Postpones Coal Spinoff Discussions Until Teck Deal Closes
Portfolio Pulse from Stjepan Kalinic
Glencore has postponed discussions on spinning off its coal business until after the closure of its $6.93 billion acquisition of Teck Resources' steelmaking coal assets. The decision to potentially spin off the coal unit will be influenced by shareholder consultations, especially considering environmental and social governance concerns.
May 30, 2024 | 6:19 pm
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Teck Resources is selling a 77% interest in its steelmaking coal business to Glencore for $6.93 billion. The deal is expected to close in Q3 2023.
The sale of Teck's steelmaking coal assets to Glencore is a significant transaction that will likely have a positive short-term impact on Teck's stock price due to the substantial cash inflow and strategic focus on other business areas.
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