About Cabling Installation & Maintenance

Our mission: Bringing practical business and technical intelligence to today's structured cabling professionals

For more than 30 years, Cabling Installation & Maintenance has provided useful, practical information to professionals responsible for the specification, design, installation and management of structured cabling systems serving enterprise, data center and other environments. These professionals are challenged to stay informed of constantly evolving standards, system-design and installation approaches, product and system capabilities, technologies, as well as applications that rely on high-performance structured cabling systems. Our editors synthesize these complex issues into multiple information products. This portfolio of information products provides concrete detail that improves the efficiency of day-to-day operations, and equips cabling professionals with the perspective that enables strategic planning for networks’ optimum long-term performance.

Throughout our annual magazine, weekly email newsletters and 24/7/365 website, Cabling Installation & Maintenance digs into the essential topics our audience focuses on.

  • Design, Installation and Testing: We explain the bottom-up design of cabling systems, from case histories of actual projects to solutions for specific problems or aspects of the design process. We also look at specific installations using a case-history approach to highlight challenging problems, solutions and unique features. Additionally, we examine evolving test-and-measurement technologies and techniques designed to address the standards-governed and practical-use performance requirements of cabling systems.
  • Technology: We evaluate product innovations and technology trends as they impact a particular product class through interviews with manufacturers, installers and users, as well as contributed articles from subject-matter experts.
  • Data Center: Cabling Installation & Maintenance takes an in-depth look at design and installation workmanship issues as well as the unique technology being deployed specifically for data centers.
  • Physical Security: Focusing on the areas in which security and IT—and the infrastructure for both—interlock and overlap, we pay specific attention to Internet Protocol’s influence over the development of security applications.
  • Standards: Tracking the activities of North American and international standards-making organizations, we provide updates on specifications that are in-progress, looking forward to how they will affect cabling-system design and installation. We also produce articles explaining the practical aspects of designing and installing cabling systems in accordance with the specifications of established standards.

Cabling Installation & Maintenance is published by Endeavor Business Media, a division of EndeavorB2B.

Contact Cabling Installation & Maintenance

Editorial

Patrick McLaughlin

Serena Aburahma

Advertising and Sponsorship Sales

Peter Fretty - Vice President, Market Leader

Tim Carli - Business Development Manager

Brayden Hudspeth - Sales Development Representative

Subscriptions and Memberships

Subscribe to our newsletters and manage your subscriptions

Feedback/Problems

Send a message to our general in-box

 

High Teck: Teck Resources Hits 12-Year High on Deal Drama

It’s been a heck of a month for Teck Resources Limited (NYSE: TECK). On April 3rd, the Canadian mining company rejected a hostile $22.5 billion takeover bid from Swiss commodity company Glencore. Presented a week prior, the private proposal had visions of spinning off the combined companies’ steelmaking coal and thermal power plant businesses and calling the rest ‘GlenTeck.’ While the offer was refused, Teck shares jumped 20% in five-times average volume. 

Teck management cited an unwillingness to expose shareholders to Glencore’s thermal coal, oil and liquid natural gas (LNG) portfolio, but there’s more to the story. The miner had already been planning a spin-off of its own. 

In a February 2023 restructuring announcement, Teck laid out a plan to split the company into two — Elk Valley Resources and Teck Metals. The former will focus on steelmaking coal, while the latter will include copper and zinc production.

And while Teck executives have called the Glencore proposal a ‘non-starter’ and ‘flawed,’ Wall Street isn’t convinced that the deal is dead. Analysts see higher bids ahead, including the possibility of more industry players getting involved. Major mining companies Freeport McMoran, Vale and Anglo American have been rumored to be mulling competing bids for Teck’s metals business. This helped push Teck’s share price above $49.00 on April 17th, its highest level since 2011. 

Last week, Glencore sweetened the pot with an $8.2 billion cash component, but Teck downplayed the offer as “largely unchanged.” Glencore CEO Gary Nagle then met with Teck shareholders in Toronto to promote the revised deal. However, Teck shareholders voiced reluctance — and not so much about the money.  

At a time when the global economy is shifting to clean energy, owning a stand-alone thermal coal business is understandably unattractive. The dirty fossil fuel has been a sticking point of the discussion, but, at the core, the deal is all about copper. 

Here’s the down and dirty. 

Why Is Glencore Interested in Teck Resources?

With the world rapidly transitioning to electric vehicles, auto manufacturers are racing to revamp assembly lines that can crank out more EVs. There is a parallel race among mining companies to secure supplies of metals used to make EV batteries. 

Compared to vehicles with combustion engines, EVs use considerably more copper. The highly conductive metal is used in batteries, electric motors, wiring and charging infrastructure. By 2027, some 27 million EVs are expected to be on the roads, nine times more than there were in 2017. Each vehicle will require upwards of 83 kilograms of copper, with electric buses requiring far more.

With mines in Australia, South America and the Congo, Glencore is already one of the world’s largest copper producers. But given the anticipated long-term demand for copper, it has identified an opportunity to play an even bigger role in EV battery production. A Glencore-Teck combination would be the world’s third-largest copper producer. 

Will Teck Resources Stock Keep Going Up?

Teck Resources market cap has climbed to approximately $24 billion, significantly above Glencore’s $22.5 billion offer. Considering Teck’s share price has already doubled off its July 2022 bottom, the near-term upside is probably limited. 

Revised analyst price targets since the Glencore bid became public range from $46.40 to $53.88. The average target of $50.49 implies just 5% upside from current levels. 

Over time though, Teck Resources certainly has the growth drivers to return to its all-time high of $65.37. Aside from widespread use in EVs, copper is a valuable input for renewable energy technologies such as water supply lines and plumbing connectors. It is used in cookware and as an infection-combatant in hospital settings. Teck’s zinc assets also have diversified growth potential tied to construction, semiconductors, pharmaceuticals, cosmetics and health supplements. 

But for Teck to return to the $ 60s, the pending separation of its metals and steelmaking coal units would have to fall through. That’s because it would otherwise be split into two separate publicly traded companies, Teck Metals and Elk Valley Resources. 

As an ‘out of favor’ coal producer, Elk Valley Resources would likely trade similarly to mid-cap coal stocks such as Arch Resources or Peabody Energy. The faster-growing Teck Metals, on the other hand, could command a more premium valuation comparable to copper industry leaders like Freeport-MoMoran or Southern Copper. 

Investors preferring exposure to copper and the EV space may be better served to wait out the potential split. But they’ll be doing so at the risk of seeing Glencore or another player reach a takeover deal — and not getting to own Teck outright.

Stock Quote API & Stock News API supplied by www.cloudquote.io
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms Of Service.