Mining giant BHP (ASX:BHP) is no longer considering a proposed merger with Anglo American (LSE:AAL), as it remains confident in its own organic growth strategy.
BHP says it continues to believe, however, that a combination with Anglo American would have had strategic merits.
This news comes after Anglo American and Teck Resources (TSX:TECK.A) agreed to merge both companies.
As Mining.com.au reported, the combined entity is expected to offer more than 70% exposure to copper, creating a new entity called Anglo Teck with a more than US$50 billion ($77.4 billion) value.
Under the proposed deal, Anglo American shareholders will own 62.4% of Anglo Teck’s shares, while Teck shareholders will own the remaining 37.6%.
The transaction is expected to be completed within 12 to 18 months.
Anglo American is a global mining company focused on producing copper, iron ore, and crop nutrients.
BHP is a resources company that operates in more than 90 locations worldwide.
Since 1851, the company has been developing and contributing to the mining industry, with more than 90,000 employees and contractors across the world.
Write to Aaliyah Rogan at Mining.com.au
Images: BHP
