launched a sweeping overhaul of its corporate structure on Tuesday by announcing plans to spin off its coal business and end the founding Keevil family’s control of the country’s largest base metal mining company.
“This transformative transaction creates two strong, sustainable, world-class mining companies committed to responsibly providing essential resources the world needs,” said Jonathan Price, Teck’s chief executive officer, in a press release. Mr. Price was named CEO in September and joined Teck in 2020.Two of Teck’s steelmaking customers, Japan’s Nippon Steel Corp. and South Korea’s POSCO, will swap stakes in the company’s B.C. coal mines for minority holdings in Elk Valley.
“The sunset on the multiple voting rights will modernize Teck’s governance and provide a simplified and competitive capital structure, following an appropriate continuity period, which we believe will benefit Teck and all of its shareholders,” said Sheila Murray, chair of Teck’s board.