EuroChem completes acquisition of BASF fertilizer assets
Ludwigshafen, Germany and Moscow, Russia – April 2, 2012 – BASF has completed the sale of its fertilizers activities in Antwerp, Belgium, to EuroChem as of March 31, 2012, as planned. The appropriate antitrust authorities have given their approval for the transaction. The total purchase price amounts to around €830 million, including a deferred part of circa €130 million payable over the period 2013 to 2016. This transaction will lead to an expected pre-tax disposal gain of approximately €600 million for BASF in the first quarter of 2012.
The scope of the transaction includes plants for CAN/AN fertilizers (calcium ammonium nitrate/ammonium nitrate), NPK fertilizers (nitrogen-phosphate-potassium) and nitrophosphoric acid as well as three related nitric acid plants. The activities were carved out into a separate company, now named EuroChem Antwerpen NV. About 330 employees have been transferred to the new company.
Dmitry Strezhnev, CEO of EuroChem, said: “With the purchase of these facilities we are continuing our strategy to increase our share in the global fertilizer market both through organic growth and acquisitions. I am looking forward to working with the highly experienced team in Antwerp.”
“EuroChem is a strategic partner who will support and further strengthen our Verbund concept of integration at our site in Antwerp. My thanks go to our former employees who have done excellent work over the past years,” said Dr. Andreas Kreimeyer, member of the Board of Executive Directors of BASF SE and responsible for the Chemicals segment.
BASF is the world’s leading chemical company: The Chemical Company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. We combine economic success, social responsibility and environmental protection. Through science and innovation we enable our customers in almost all industries to meet the current and future needs of society. Our products and system solutions contribute to conserving resources, ensuring healthy food and nutrition and helping to improve the quality of life. We have summed up this contribution in our corporate purpose: We create chemistry for a sustainable future. BASF posted sales of about €73.5 billion in 2011 and had more than 111,000 employees as of the end of the year. BASF shares are traded on the stock exchanges in Frankfurt (BAS), London (BFA) and Zurich (AN). Further information on BASF is available on the Internet at www.basf.com
EuroChem is a top ten agrochemical company globally by nutrient capacity, producing primarily nitrogen and phosphate fertilizers, as well as certain organic synthesis products and iron ore. The Group is vertically integrated with activities spanning from mining and natural gas extraction to production, logistics, and distribution. EuroChem holds licenses to develop potash reserves in Russia which entitle it to an estimated fifth-largest volume of potash reserves globally. Please visit www.eurochem.ru for further information.
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