Investors got excited at the prospect of a merger between Teck Resources Ltd. and Antofagasta PLC on Monday, but any deal would likely require major compromises by the families in control of each company.
Protective measures to control volatile trading after the “flash crash” in 2010 led to confusion and the ultimate cancelling of some trades Monday amid speculation about a merger between copper miners Teck Resources Ltd. and Antofagasta PLC.
Coal, copper, and zinc miner Teck Resources Ltd. (TSX:TCK.B)(NYSE:TCK) recently slashed its dividend by two-thirds in order to shore up its balance sheet as the impact of sharply lower commodities prices bites deeper.
At 4.70%, Teck Resources Ltd. (TSX:TCK.B)(NYSE:TCK) offers quite an irresistible dividend yield. In fact, as of writing, Teck's yield is currently the fourth highest on the TSX, and this has a served as a major attraction for investors.
Teck Resources Ltd. (TSX:TCK.B)(NYSE:TCK) slashed its dividend by two-thirds on April 21. Most stocks would have swooned on that kind of news, but Teck has actually rallied more than 20% since the announcement.
Teck Resources Ltd. (TSX:TCK.B)(NYSE:TCK) and Barrick Gold Corporation (TSX:ABX)(NYSE:ABX) are two of Canada's mining titans, but the companies have fallen on hard times in the past three years and most investors have given up on the stocks.