Teck Resources Ltd is the second largest mining firm in Canada. It is also among the few bidders left battling for Rio Tinto Group's controlling stake in Iron Ore Co., Canada. This was according to a source that is familiar with the matter.
The same source, who asked not to be identified as discussions were held private, stated that Rio is also looking to keep its controlling stake in Iron Ore Co. This was after the company felt disappointed with the offered bids it received from interested parties.
Rio Tinto Group has also considered on a separate sale of its mining and infrastructure assets, but has decided against the plan after putting up its stakes for sale. A representative from Teck refused to comment regarding the report. On the other hand, Rio's spokesperson also declined to give a statement.
With the acquisition deal, Teck would be able to diversify its production of zinc, coal and copper. The controlling stake which Rio owns would be worth USD3.5 billion once the transaction pushes through. This was according to a note in June from Credit Suisse Group AG analysts.
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