Independent proxy advisory firms Institutional Shareholder Services (ISS) and Glass Lewis have recommended that shareholders of Teck Resources Ltd (TSX:TECK.B) vote in favor of the company’s proposed merger with Anglo American PLC (LSE:AAL).
The recommendations come ahead of Teck’s special shareholder meeting scheduled for December 9, 2025, which will see stockholders have their say on the deal.
ISS sees the merger as strategically advantageous, citing anticipated synergies, additional upside potential for shareholders, and the limited universe of potential buyers for Teck.
The firm also noted that the company’s board explored alternative transaction structures to maximize shareholder value and that shareholders could benefit from improved liquidity and a stronger financial position for the combined company.
Glass Lewis highlighted the strategic merits of the combination, noting the scale, asset quality, and long-term growth profile in copper of the merged entity.
The firm said the transaction would create a financially stronger and more resilient producer, with potential value from operational integration and future development opportunities.
“The Teck Board has determined that a merger of equals with Anglo American is the best path forward for Teck shareholders and all stakeholders,” Teck CEO Jonathan Price said in a statement.
He added that the merger would create a new global critical minerals leader headquartered in Canada, with increased scale and a diverse portfolio of copper and critical minerals assets.
The proposed merger is expected to create a copper mining entity valued at approximately $70 billion. The transaction is subject to regulatory review under the Investment Canada Act, which assesses foreign investments to ensure they are likely to result in a net benefit to the country, considering factors such as national security, economic impact, and the long-term interests of Canadian stakeholders.