Alta Corporation Upgrades Potash Corp Rating to Sector Perform with Kerimov's 22% Stake Buyout
Alta Corp analyst John Chu raised the Potash Corporation of Saskatchewan (NYSE: POT) rating from Underperform to Sector Perform.
Chu noted that the buyout of Uralkali's Suleiman Kerimov 22% stake is almost completed. Wednesday, Dow Jones reported that this stake was said to be aimed at a local buyer. With this buyout, the analyst commented that this will gradually lead to the “rebirth” of the BPC cartel.
In the note, Chu wrote that the demand for potash remains low in this sector but Belarus could help “at least stem” the decline in potash price.
Potash Corp closed at $32.84 on Wednesday.
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