With the increasingly fierce competition in the fertilizer market, fertilizer upgrade unstoppable, our various fertilizer companies will be a huge challenge. Recently, the global fertilizer industry to speed up the integration of resources, a number of giant companies, including Yara, etc., to expand in the global mergers and acquisitions, expansion of production capacity and market share, or move up the industrial chain will further consolidate its market position. Details reported as follows:
August 6, the US CF Industries, Inc. announced a deal worth $ 8 billion, acquisition of Dutch chemical fertilizers and chemical manufacturers OCI in Europe, fertilizer and methanol assets and global distribution business in North America, the new company is headquartered in the UK, CF shareholders will own 72.3 percent of the shares of the new company, OCI shareholders will own 27.7 percent of the shares. The transaction will be completed by 2016. OCI fertilizer production base is located in the Netherlands and North America, the new company in mid-2016 fertilizer production capacity will reach 12 million tons, the transaction will allow the CF to expand production capacity 65% ​​over the next two years. CF has invested $ 648 million in early July to acquire Norwegian Yara International GrowHowUK50% stake in the subsidiary, GrowHowUK total capacity could reach nearly 800,000 tons of ammonia, 1.1 million tons of ammonium nitrate and 50 tons of compound NPK. The acquisition will further boost OCI CF to become the world's largest nitrogen fertilizer production enterprises.
Norwegian Yara adjust the investment structure, steering fertilizer industry chain of synthetic ammonia project. July 27 and German agrochemical giant BASF joint investment of $ 600 million, to start the construction of an ammonia plant in Texas, is expected to put into operation by the end of 2017, the new plant will produce 750,000 tons per year of synthetic ammonia, Yara International holds a 68% stake, while BASF holds the remaining 32% stake. Yara International TorgeirKvidal president and CEO, said the project will further strengthen Yara's position in the world ammonia market, and can make it more deeply involved in the US market.
German potash fertilizer giant K + S on August 7, 2015, said the world's largest potash producer refused Potash Company (Potash) value of 7.9 billion euros of new proposed initiatives offer again. The new offer price is still 41 euros per share, and the offer was rejected last month Potash same. The offer undervalues ​​their products and projects.
July 2, 2015, K + S has refused to offer too low Potash raised 7.85 billion euros ($ 8.75 billion) takeover offer. As early as 1997, the German Federal Office of the Union had to stop Potash takeover K + S51% stake, the market worried about the formation of a monopoly after the merger.
It is worth noting that at the end of 2016 K + S in Canada legacy area 200 tons of potash fertilizer project will be put into these signs show, K + S potash resources are competing for Potash to obtain the right to speak the global potash supply.
Insiders predict that the next decade, the global potash supply will exceed demand continued. While it is still too early to comment on these merger, but the European chemical, Belarusian Potash, Ural potash, BHP Billiton and other companies also active in the new acquisitions or new projects, a large number of new potash device will be put into operation. Potash oversupply will gradually show.