BHP Group announced a renewed takeover approach to Anglo American on November 23 2025, following a previous $49 billion bid that was rejected in May 2024. The new overture comes as Anglo American is simultaneously pursuing a merger of equals with Canada’s Teck Resources, a deal announced in September 2025 that will be voted on by shareholders on December 9 2025 and requires regulatory approval in several jurisdictions.
The renewed bid is driven by BHP’s strategic focus on copper, a commodity that is central to the global energy transition. BHP’s FY2025 results—underlying EBITDA of $26 billion at a 53% margin, net operating cash flow of $18.7 billion, and attributable profit of $10.2 billion—demonstrate the company’s strong financial position and its capacity to pursue large acquisitions. Anglo American, with a market value of roughly £31.9 billion (about $41.8 billion), has been simplifying its portfolio, divesting legacy assets and positioning itself for a higher valuation.
Anglo American’s current merger with Teck Resources adds complexity to the takeover scenario. The Teck deal, which is subject to scrutiny in China, the United States and Canada, could be affected if Anglo American accepts BHP’s overture. Anglo American’s Q3 2025 production report, released October 28 2025, highlighted progress on the merger and reported a net debt of $10.8 billion, with a net debt‑to‑EBITDA ratio of 1.8×, indicating a relatively conservative balance‑sheet stance.
BHP’s CEO Mike Henry emphasized that the company’s “resilience, operational excellence and focus on attractive commodities” underpin its interest in Anglo American’s world‑class copper assets. CFO Vandita Pant noted a target net debt range of $10 billion to $20 billion and a 53% EBITDA margin, underscoring BHP’s confidence in maintaining profitability while pursuing strategic acquisitions. Anglo American’s CEO Duncan Wanblad highlighted accelerated strategy, portfolio simplification and cost savings, positioning the company to potentially benefit from a higher valuation if a takeover bid materializes.
The strategic rationale for BHP’s renewed interest is twofold: first, acquiring Anglo American would create a mining giant with a diversified portfolio that includes iron ore, copper, coal and potash, enhancing scale and resilience; second, the timing—amid Anglo American’s Teck merger—could allow BHP to negotiate a more favorable valuation if Anglo American seeks to accelerate its exit strategy. The move reflects a broader industry trend toward consolidation driven by demand for critical minerals needed for decarbonization and technological advancement.
Overall, BHP’s renewed takeover approach signals a significant shift in the competitive dynamics of the global mining sector, potentially reshaping the balance of power among the world’s largest producers of copper and other key commodities. The outcome will depend on Anglo American’s response, regulatory approvals for both the takeover and the Teck merger, and the broader market environment for critical minerals.
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