Market Overview

Yara to Acquire Bunge's Brazilian Fertilizer Business for $750M Cash

Share:

Bunge Limited (NYSE: BG) today announced it has entered into a definitive agreement with Yara International ASA under which Yara will acquire Bunge's Brazilian fertilizer business, including blending facilities, brands and warehouses, for $750 million in cash.

Bunge and Yara have also agreed to enter into a long-term fertilizer supply agreement, enabling Bunge to continue to supply fertilizer to farmers as part of its grain origination activities and creating a framework for logistics and other commercial activities related to fertilizer sales. Bunge will retain and continue to operate its fertilizer terminal in the Port of Santos, Brazil.

Alberto Weisser, Bunge's Chairman and Chief Executive Officer, stated, "The transaction is a good one for both companies.  It enables Bunge to size our fertilizer activities so they are a more streamlined complement to our agribusiness operations and provides Yara with a larger position in a high-growth market.  We're confident the transaction will provide benefits to our employees and customers, and that the business will continue to grow as part of Yara's global portfolio."

The transaction, which is expected to close in the second half of 2013, is subject to customary closing conditions, including the receipt of regulatory approvals

See full press release

Posted-In: M&A News Guidance Asset Sales Management Global

 

Related Articles (BG)

View Comments and Join the Discussion!
Need corporate guidance data?
Click here to see licensing options.
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

51job Receives Nasdaq Non-Compliance Letter Due to Director Vacancy

Benzinga Market Primer, Friday, December 7: Non-Farm Payrolls Edition