Itafos Inc V.IFOS

RE:RE:RE:Fertilizer Demand Fuels M&A as OCP Buys Corporate Brazil

[kisstopherp]

Winny1 wrote:

kisstopherp wrote:

loray wrote:

OCP is claiming a stake in Brazil to take advantage of booming demand for fertilizers at a time when Mosaic and Yara are also snapping up assets, driving a consolidation in the industry. Brazilian farmers, which import about two-thirds of their supplies, are buying crop nutrients at a record pace after prices fell and local currency strengthened.

“Brazil is the world’s fastest growing market for fertilizers,” Heringer Chief Executive Officer Dalton Carlos Heringer said in a interview by phone. “The deal will give us a safe channel with a supplier who is also interested in taking part in it.”

 

We all know that:

A) This is the right commodity to be in at this moment and 
B) Brazil is the hottest region in the world for fertlizer demand and growth. 

I speculate that Mosaic is the leading the company to JV with or do a full buyout with. 

While it makes a lot of sense for B&A to buyout the remaining shares it doesn't already hold I believe that if they wanted to take this course of action they would have done so already. They may have considered doing this only as an absolute last resort if the strategic alternatives review wasn't yielding sufficient or satisfactory resutls. 

The latest NR confirmed that multiple BINDING bids have been received which could include a a number of different scenarios making the review complex. 

 

I doubt that any transaction will be announced before the AGM - this could well into July and for good reason. 

 

You made an error. It's non-binding proposals.

No they are binding proposals. They already submitted non-binding proposals previously. They were given a deadline to submit BINDING proposals.