Teck Resources (TECK) Gets 11% Boost From $53-Billion Anglo Merger

We recently published 10 Stocks With Eye-Popping Gains — 1 Surges 3,000%. Teck Resources Ltd. (NYSE:TECK) is one of the top performers on Tuesday.

Teck Resources extended its winning streak to a third straight day on Tuesday, jumping 11.28 percent to close at $39.07 apiece after gaining shareholder support for its planned $53 billion merger with Anglo American PLC that would create the fifth largest copper producer globally.

In a statement, Teck Resources Ltd. (NYSE:TECK) said that it officially reached an agreement to merge with Anglo American and form a new company called Anglo Teck PLC.

Under the agreement, Class A and B common shareholders of Teck Resources Ltd. (NYSE:TECK) will be able to receive 1.3301 ordinary shares of Anglo American.

Upon closing of the transaction, owners of Teck Resources Ltd. (NYSE:TECK) will own 37.6 percent of Anglo Teck PLC, while the remaining 62.4 percent is owned by Anglo American shareholders.

According to the company, the proposed merger is expected to offer investors more than 70 percent exposure to copper.

It said the merger firm will also work with key stakeholders and partners at two mining sites in Collahuasi and Quebrada Blanca in Chile that would generate some $26.6 billion in EBITDA from 2030 to 2049, or equivalent to $1.4 billion annually.

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Disclosure: None. This article is originally published at Insider Monkey.