Letko Brosseau to vote in favor of Teck’s separation plan
Credit: Teck Resources
Teck Resources investor Letko Brosseau said on Thursday that it intends to vote in favor of the Canadian miner’s plan to create two separate companies, and that Glencore’s unsolicited takeover bid for Teck is not “attractive.”
Letko Brosseau does not find the offer put up by Glencore attractive, Peter Letko, founding partner of the Montreal based investment firm, told Reuters. It “would prefer a competitive bidding for Teck assets post the split,” he said.
Brosseau owns 3.7 million shares, or 0.7%, of Teck’s shares outstanding.
(By Divya Rajagopal and Ismail Shakil; Editing by Chizu Nomiyama)
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Comments
Steve
I am a TECK class B shareholder. My problem with TECK management is that they have proposed to convert their class A shares into class B shares in an arrangement very unfavorable to the existing class B shareholders. This unfavorable conversion is intertwined with management’s proposal to split TECK into two companies.
I am in favor of the split. However if I vote my class B shares for the split I am simultaneously voting to decrease my percentage ownership in TECK. Therefore I have to vote against everything on the TECK proxy ballot to protect my equity in TECK.
I recommend to all other TECK class B shareholders that they vote against every resolution in the TECK proxy.