AGU » Topics » NEWS RELEASE

This excerpt taken from the AGU 6-K filed Apr 10, 2008.
NEWS RELEASE
FOR IMMEDIATE RELEASE
 
Agrium To Acquire European Distribution Network
April 10, 2008 — ALL AMOUNTS ARE STATED IN U.S.$
CALGARY, Alberta — Agrium Inc. (TSX and NYSE: AGU) announced today that it has entered into an exclusive agreement to acquire a 70 percent equity position in Common Market Fertilizers S.A. (“CMF”), one of Western Europe’s largest fertilizer distribution companies. CMF has annual sales revenues of $500 to $600 million, crop nutrient sales volumes of 2 to 2.5 million tonnes and an annual EBITDA of approximately $10-million.
The purchase price for 70 percent of the business is $16-million plus working capital of approximately $50-million. The transaction is expected to close in the second quarter of 2008, subject to concluding a definitive purchase and sale agreement, due diligence and regulatory approval. Oscar Geyer will remain as CEO of CMF, and will continue to hold an equity position in the company.
“This acquisition is a key step in our global wholesale distribution strategy. Europe will be a key end-market for product from our Egyptian nitrogen facility, which is currently under construction. CMF provides us with important access to major distribution assets across Europe, expansion of our sourcing footprint into Eastern Europe, as well as one of Europe’s most experienced teams in fertilizer logistics, distribution, purchasing and sales. Agrium will become one of the largest global distributors by combining volumes from our Egyptian production, our North American purchase for resale business and volumes from CMF, said Mike Wilson, Agrium’s President and CEO.”
CMF has developed a large base of 1,500 customers, including retailers and cooperatives, across Europe over the past 24 years. It operates through subsidiaries in France, Germany, Belgium, the UK, Italy and Bulgaria, and it also markets product in Spain, the Netherlands, Ireland, Greece, Denmark and South America. CMF owns and leases over 300,000 tonnes of dry and liquid storage at both port and inland sites across much of Europe. CMF’s head office is located in Brussels, Belgium. The privately-owned company currently has about 60 employees located across Europe.
About Agrium
Agrium Inc. is a major retail supplier of agricultural products and services in both North and South America and a leading global producer and marketer of agricultural nutrients and industrial products. Agrium produces and markets three primary groups of nutrients: nitrogen, phosphate and potash as well as controlled release fertilizers and micronutrients. Agrium’s strategy is to grow through incremental expansion of its existing operations and acquisitions as well as the development, commercialization and marketing of new products and international opportunities.

 


 

Forward-Looking statements
Certain statements in this press release constitute forward-looking statements. Such forward-looking statements involve known and unknown risks and uncertainties, including those referred to in the management discussion and analysis section of the Company’s most recent annual report to shareholders, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. A number of factors could cause actual results to differ materially from those in the forward-looking statements, including, but not limited to, general economic, market and business conditions, fluctuations in foreign exchanges, the negotiations and closing of the transaction and bringing the Egyptian nitrogen facility into production as planned. Agrium disclaims any intention or obligation to update or revise any forward-looking information as a result of new information or future events.
FOR FURTHER INFORMATION:
Investor/Media Relations:

Richard Downey, Senior Director, Investor Relations
(403) 225-7357
Ashley Harris, Manager, Investor Relations
(403) 225-7437
Contact us at: www.agrium.com

 

This excerpt taken from the AGU 6-K filed Dec 10, 2007.
NEWS RELEASE
FOR IMMEDIATE RELEASE  
Agrium to sell up to $1.25 billion of common shares
December 10, 2007 — ALL AMOUNTS ARE STATED IN U.S.$
CALGARY, Alberta — Agrium Inc. (TSX and NYSE: AGU) today announced that it will immediately commence an offering of up to $1.25-billion of common shares in Canada and the United States through a syndicate of underwriters, with RBC Capital Markets acting as lead manager and bookrunner, Merrill Lynch & Co., Scotia Capital Inc. and UBS Securities Canada Inc. acting as co-lead managers, and including BMO Nesbitt Burns Inc., Credit Suisse Securities (Canada), Inc., National Bank Financial Inc., CIBC World Markets Inc. and TD Securities Inc. Agrium intends to grant to the underwriters an option exercisable for a period of 30 days after closing to purchase up to an additional 10 percent of that number of common shares issued on the date of closing of the offering at a price equal to the offering price to cover over-allotments, if any.
The common shares will be offered pursuant to a preliminary prospectus supplement under the Company’s short form base shelf prospectus dated August 22, 2007 and the Company’s related effective Registration Statement on Form F-10. The preliminary prospectus supplement was filed today with the Canadian securities regulatory authorities in each of the provinces of Canada and with the United States Securities and Exchange Commission under the multi-jurisdictional disclosure system. On December 3, 2007, the Company filed an amendment to such short form base shelf prospectus to increase the maximum amount of securities that may be offered thereunder from $1-billion to $3-billion.
The Company intends to use the net proceeds from the offering to fund a portion of the purchase price of its previously announced cash tender offer for all of the outstanding shares of common stock of UAP Holding Corp. The Company estimates that the aggregate cash consideration for the acquisition of UAP will be approximately U.S. $2.15-billion, plus indebtedness of UAP to be assumed or refinanced. The Company also plans to borrow under available credit facilities to pay the balance of the purchase price for UAP and to refinance certain indebtedness of UAP and its subsidiaries. The acquisition of UAP is expected to be completed in early 2008.
About Agrium
Agrium Inc. is a major retail supplier of agricultural products and services in both North and South America and a leading global producer and marketer of agricultural nutrients and industrial products. Agrium produces and markets three primary groups of nutrients: nitrogen, phosphate and potash as well as controlled release fertilizers and micronutrients. Agrium’s strategy is to grow through incremental expansion of its existing operations and acquisitions as well as the development, commercialization and marketing of new products and international opportunities.

 


 

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ADVISORY
A copy of the preliminary prospectus supplement and accompanying short form base shelf prospectus may be obtained from RBC Capital Markets in Canada, Attention: Distribution Centre, 277 Front St. W., 5th Floor, Toronto, Ontario M5V 2X4 (fax: 416-313-6066); in the United States contact RBC Capital Markets Corporation, Attention: Prospectus Department, One Liberty Plaza, 165 Broadway, New York, New York, 10006 (fax: 212-428-6260).
This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the U.S. Private Securities Reform Act of 1995. Forward-looking statements are not based on historical facts, but rather on current expectations and projections about future events, and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. These risk factors relative to these statements include: the offering not being completed on favourable terms or at all, our inability to complete the acquisition of UAP within expected timeframes and costs or at all, our inability to satisfy conditions to borrowing under the credit facilities, as well as other risk factors listed from time to time in Agrium’s reports and comprehensive public disclosure documents including Agrium’s Annual Information Form, and in other Agrium filings with securities commissions in Canada (on SEDAR at www.sedar.com ) and the United States (on EDGAR at www.sec.gov).
FOR FURTHER INFORMATION:
Agrium Investor/Media Relations:

Richard Downey, Senior Director, Investor Relations
(403) 225-7357
Ashley Harris, Manager, Investor Relations
(403) 225-7437

 

This excerpt taken from the AGU 6-K filed Mar 9, 2006.
NEWS RELEASE
  Contact:
FOR IMMEDIATE RELEASE
  Agrium Investor/Media Relations:
 
  Richard Downey
 
  Director, Investor Relations
 
  Phone (403) 225-7357 
 
   
Agrium and Rentech Move Forward
  Christine Gillespie
on Sale of East Dubuque Fertilizer
  Investor Relations Manager
Plant
  Phone (403) 225-7437 
 
   
 
  Rentech Investor/Media Relations:
 
  Mark Koenig,
 
  Director of Investor Relations for
 
  Rentech, Inc.
 
  Phone (303) 298-8008 ext. 116 
 
   
ALL AMOUNTS ARE STATED IN U.S.$
   
UNLESS OTHERWISE STATED
  Contact us at: www.agrium.com
 
CALGARY, Alberta — Agrium Inc. (TSX and NYSE: AGU) and Rentech Inc. announced today that they continue to move forward with the sale of the East Dubuque nitrogen fertilizer facility to Rentech in accordance with the terms of the agreements made between Rentech and Royster-Clark, Inc. prior to the acquisition of Royster-Clark by Agrium.
Rentech announced in November 2005 that its wholly owned subsidiary, Rentech Development Corporation, had signed a definitive agreement with Royster-Clark, Inc. for the sale of its 830-ton per day natural gas-fed nitrogen fertilizer plant in East Dubuque, Illinois for $50-million. Upon close of the transaction, Royster-Clark will be appointed the exclusive distributor for the sale, purchase and resale of anhydrous ammonia, UAN solutions, nitric acid and granular urea manufactured at the plant for agricultural and industrial use in the United States, all subject to the terms of a distribution agreement.
“We are very supportive of Rentech’s goal of converting the facility from a natural gas based ammonia facility to a coal fed facility and look forward to marketing this product under a long-term distribution and sale agreement with Rentech,” said Michael Wilson, President and CEO of Agrium.
Hunt Ramsbottom, President and CEO of Rentech, stated “It has been a seamless transition to working with Agrium on the acquisition. There has been complete cooperation by all parties to keep Rentech’s purchase of the East Dubuque facility on track. We appreciate the open lines of communication with Agrium’s management and their efforts in supporting Rentech to carry out its goals for the commercialization of the Rentech Process and clean coal technologies.”

 


 

About Agrium
Agrium Inc. is a leading global producer and marketer of agricultural nutrients and industrial products and a major retail supplier of agricultural products and services in both North and South America. Agrium produces and markets three primary groups of nutrients: nitrogen, phosphate and potash as well as controlled release fertilizers and micronutrients. Agrium’s strategy is to grow through incremental expansion of its existing operations and acquisitions as well as the development, commercialization and marketing of new products and international opportunities.
Forward-Looking Statements
Certain statements in this press release contain forward-looking statements. These statements involve known and unknown risks and uncertainties, including those discussed in this press release, which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The closing of the transactions between Agrium and Rentech are subject to a number of conditions precedent, including regulatory approvals and other third party consents, which may or may not be satisfied. Our assumptions as to marketing product purchased from the plant pursuant to a long-term distribution and sale agreement are based upon a number of factors, including effecting the closing of the transactions and the ability of Rentech to implement its goals for the commercialization of the plant as contemplated. Material factors that might cause the transactions not to proceed or not to proceed as contemplated include technological challenges in commercializing the applicable technologies, the availability of feedstock and other industry factors which may affect Agrium’s or Rentech’s businesses generally.
These risks and uncertainties are in addition to other risks and factors which may impact Agrium’s and Rentech’s businesses generally as disclosed more fully in each of their recent management’s discussion and analysis. Consequently, all of the forward-looking statements made in or incorporated by reference in this release are qualified by these cautionary statements, and there can be no assurance that the actual results or developments anticipated by us will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, us.
We undertake no obligation to update or revise these forward-looking statements even if circumstances or management’s estimates or opinions should change. Investors should not place undue reliance on forward-looking statements.
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EXCERPTS ON THIS PAGE:

6-K
Apr 10, 2008
6-K
Dec 10, 2007
6-K
Mar 9, 2006

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