Mining Giant BHP Abandons Takeover Pursuit of Anglo American
In a significant development for the global mining sector, BHP Group Ltd. has officially terminated its renewed takeover approach for Anglo American Plc. The world's largest miner confirmed on Monday that it is no longer considering a combination with its smaller rival, ending an unexpected attempt to disrupt Anglo American's planned merger with Canada's Teck Resources Ltd..
Failed Overture and Strategic Shift
According to regulatory statements and sources familiar with the matter, BHP made a fresh overture to Anglo American in recent days. This marked the mining behemoth's second attempt after failing to acquire Anglo American last year. However, Anglo American's board reviewed and rejected the new proposal, determining it was not superior to their existing combination plans with Teck Resources.
The preliminary discussions between BHP and Anglo American were confirmed on November 23, 2025, though the exact timing of the approach remains undisclosed. BHP stated it would now focus exclusively on its own existing portfolio and organic growth strategy, effectively closing the door on this acquisition opportunity.
Market Reaction and Copper-Driven Motivations
The renewed interest from BHP underscores the intense pressures within the mining industry to secure scale and growth, particularly in the copper sector. With global copper supplies dwindling and demand expected to surge amid worldwide electrification efforts, high-quality copper assets have become increasingly valuable and scarce.
Market reactions reflected the unfolding drama. BHP shares initially rose as much as 1.3% in Sydney trading before settling with a 0.6% gain. Meanwhile, Anglo American shares experienced volatility in London, initially rallying 2.6% before giving up gains to trade nearly unchanged at £27.09 per share.
The timing of BHP's approach was particularly notable, coming just weeks before shareholders from both Anglo American and Teck Resources are scheduled to vote on their own deal to create a company valued at over US$60 billion. This proposed combination would put two coveted, copper-rich targets further out of BHP's reach.
Strategic Implications and Future Focus
BHP's latest proposal was structured more simply than its previous attempt, which had required Anglo American to partially break itself up. Since BHP's last dalliance with Anglo American ended, the target company has exited its South African platinum business, potentially making it more digestible for acquisition.
Despite the abandoned bid, BHP maintained in its official statement that a combination with Anglo American would have had strong strategic merits and created significant value for all shareholders. The company expressed confidence in its own organic growth strategy, which includes major investments at the giant Escondida copper mine in Chile, the Vicuna venture in Argentina, and operations in South Australia.
Industry analysts noted that BHP may have seen a final opportunity to intervene before the Anglo-Teck partnership solidified. With Anglo American's shares having risen about 11% in London trading since BHP's previous attempt failed, and broad investor support emerging for the Teck combination, the window for acquisition appears to have closed permanently.
