Glencore Proposes To Teck Board To Introduce Cash Element To Proposed Merger Demerger

(RTTNews) - Glencore plc (GLCNF.PK, GLNCY.PK, GLEN.L) has submitted a reply to the letter from the Board of Teck Resources Limited (TCK_A.TO, TECK) dated 3 April, in which it responded to certain of Teck's stated concerns regarding the proposed merger demerger and proposed certain modifications to the terms of the proposed Merger Demerger.

Glencore acknowledges that certain Teck investors may prefer a full coal exit and others may not desire thermal coal exposure. Accordingly, Glencore has proposed to the Teck Board to introduce a cash element to the proposed Merger Demerger to effectively buy Teck shareholders out of their coal exposure such that Teck shareholders would receive 24% of MetalsCo and $8.2 billion in cash. Glencore is also prepared to offer a combination of cash and/or CoalCo shares.