JSW Steel eyes majority stake in Teck coal unit
ECONOMY & POLICY

JSW Steel eyes majority stake in Teck coal unit

JSW Steel is considering the formation of a consortium to make a bid for a majority stake in Teck Resources steelmaking coal business. This move could potentially challenge an $ 8 billion offer presented by the commodities giant Glencore Plc.

Mumbai-based JSW is in search of partners to join them in making an offer to acquire a 75% stake in the asset known as Elk Valley Resources. This marks a notable change in approach compared to July when JSW's interest was acquiring up to 20% of Teck's coal business.

A potential deal might set the value of the coal business at over $ 8 billion. JSW has reportedly been engaging with banks to explore financing options for a prospective offer. However, these discussions are still ongoing, and there is no assurance that an agreement will ultimately be reached.

It is possible that any consortium established by JSW may encounter competition for the coal asset from Glencore. Glencore had previously proposed an $8 billion purchase of the business in June as an alternative to a complete takeover of Teck, a mining company based in Vancouver.

Around the same time, Teck revealed that it had received several indications of interest in its coal operations, though the parties interested were not named. In February, Japan's Nippon Steel Corp. had agreed to take a stake in a separate entity called Elk Valley Resources. However, Teck later abandoned the plan to split its coal and metals businesses.

In the preceding month, Glencore demonstrated its sustained interest in the deal by reserving $ 2 billion for a potential acquisition of the Canadian miner's coal business. This amount was initially intended to be returned to shareholders.

Also read: 
Bahrain Steel partners with Essar Group for Green Steel Initiative
CM Gehlot approves Rs 246.81 bn investment boost for Rajasthan's growth


JSW Steel is considering the formation of a consortium to make a bid for a majority stake in Teck Resources steelmaking coal business. This move could potentially challenge an $ 8 billion offer presented by the commodities giant Glencore Plc. Mumbai-based JSW is in search of partners to join them in making an offer to acquire a 75% stake in the asset known as Elk Valley Resources. This marks a notable change in approach compared to July when JSW's interest was acquiring up to 20% of Teck's coal business. A potential deal might set the value of the coal business at over $ 8 billion. JSW has reportedly been engaging with banks to explore financing options for a prospective offer. However, these discussions are still ongoing, and there is no assurance that an agreement will ultimately be reached. It is possible that any consortium established by JSW may encounter competition for the coal asset from Glencore. Glencore had previously proposed an $8 billion purchase of the business in June as an alternative to a complete takeover of Teck, a mining company based in Vancouver. Around the same time, Teck revealed that it had received several indications of interest in its coal operations, though the parties interested were not named. In February, Japan's Nippon Steel Corp. had agreed to take a stake in a separate entity called Elk Valley Resources. However, Teck later abandoned the plan to split its coal and metals businesses. In the preceding month, Glencore demonstrated its sustained interest in the deal by reserving $ 2 billion for a potential acquisition of the Canadian miner's coal business. This amount was initially intended to be returned to shareholders. Also read:  Bahrain Steel partners with Essar Group for Green Steel InitiativeCM Gehlot approves Rs 246.81 bn investment boost for Rajasthan's growth

Next Story
Resources

Skyview by Empyrean is Making Benchmarks in the Indian Ropeway Industry

FIL Industries Private Limited, the parent company of Empyrean Skyview Projects that pioneered ropeway mobility solutions in India with Jammu’s Skyview Gondola, is currently developing the Dehradun-Mussoorie ropeway and is on track to complete Phase I by September 2026. The ropeway is set to be India’s longest passenger aerial monocable covering 5.8 km between the foothills of Dehradun in Purkulgam and MDDA taxi stand in the hills of Mussoorie in just under 20 minutes. The firm pioneered green mobility solutions in India with the development of the flagship Skyview Gondola in Jam..

Next Story
Technology

Creativity is for Humans, Productivity is for Robots!

On most construction sites, the rhythm of progress is measured by the clang of steel, the hum of machinery and the sweat of thousands. But increasingly, new sounds are entering the mix: the quiet efficiency of algorithms, the hum of drones overhead, and the precision of robotic arms at work. Behind the concrete and cables, an invisible force is taking hold: data. It is turning blueprints into living simulations, managing fleets of machines, and helping engineers make decisions before a single brick is laid. This is not the construction of tomorrow; it is the architecture of today – built on ..

Next Story
Infrastructure Urban

Bhartiya Urban Unveils ‘Bhartiya Converge’ GCC Enablement Platform

Bhartiya Urban has launched Bhartiya Converge, its latest business venture designed to become India’s premier platform for enabling Global Capability Centres (GCCs). The initiative offers an integrated ecosystem aimed at helping global clients gain a competitive edge in today’s rapidly evolving business environment. Focused on enhancing turnaround time and operational efficiencies, the company seeks to deliver better business outcomes powered by top-tier talent. Bhartiya Converge presents a customised and integrated suite of microservices that addresses the nuanced and evolving operational..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?