A recent report by The Globe and Mail, citing two anonymous sources, suggests that Canadian Prime Minister Mark Carney has set a firm condition for the proposed $53-billion merger between Anglo American and Teck Resources: the relocation of Anglo American’s global headquarters to Canada.
The London-based mining giant, Anglo American, and Vancouver-based Teck Resources announced their planned merger last week. The deal, which would be one of the largest in the mining sector’s history, would see the merged company, Anglo Teck, headquartered in Canada while maintaining a primary stock listing in London.
According to The Globe and Mail’s report, Carney made it clear during discussions with Anglo American that this headquarters requirement would be a non-negotiable condition for any prospective buyer of Teck. This demand underscores the Canadian government’s focus on securing tangible economic benefits and control within the country for significant resource deals.
An Anglo American spokesperson, while declining to comment directly on Carney’s reported condition, pointed to a previous statement from CEO Duncan Wanblad. Wanblad had stated that Vancouver is the “natural location” for the combined entity’s headquarters, given that its operations and projects are largely concentrated in the Americas. The spokesperson also noted that Anglo American has a long-standing presence in Vancouver through its Americas exploration team, suggesting a familiarity with the local setup.
The merger is currently undergoing a review under the Investment Canada Act. It is expected to face close scrutiny from the federal government, which has expressed interest in ensuring the deal provides a “net benefit” to Canada, including commitments to job creation, capital investment, and Indigenous participation.
While the companies have agreed to the Canadian headquarters, the merger is still subject to other regulatory approvals before it can proceed.
