Teck Struggles to Secure Top Shareholder’s Support on Coal Split
- CIC would favor whatever plan offers cash return for coal exit
- Teck is working on new plan to split off its coal business
A rail car loaded with coal near the Teck Resources steelmaking coal mine in the Elk Valley, near Sparwood, British Columbia.
Photographer: James MacDonald/BloombergThis article is for subscribers only.
Teck Resources Ltd. is struggling to secure the support of top shareholder China Investment Corp., as the Canadian miner studies options to exit its coal business while fending off a takeover bid from Glencore Plc.
Chief Executive Officer Jonathan Price met with CIC representatives last week to solicit feedback after the Chinese sovereign wealth fund failed to back an earlier coal spinoff plan, according to people familiar with the matter. However, Price did not come away with any assurance that CIC would support a new proposal, said the people, who asked not to be identified discussing private information.