Potash Corp. and Agrium merged firm to be called Nutrien
Canada’s Potash Corp. of Saskatchewan (TSX, NYSE:POT), the world’s largest producer of the fertilizer by capacity, will change its name to Nutrien once it completes a merger with smaller rival Agrium (TSX, NYSE:AGU).
The deal, expected to close before year-end, will create the world’s largest potash miner worth about $36 billion, including debt.
Nutrien will also be the second biggest producer of nitrogen fertilizer with operations in 18 countries and more than 20,000 employees worldwide.
Before approaching Agrium, PotashCorp made an $8.8 billion-bid for German producer K+S, which didn’t go anywhere as the parts were unable to reach an agreement on price.
The failed deal would have allowed PotashCorp to fuse with another of the top-five producers, giving the Canadian group control of about one-quarter of global supply.
The upcoming merger, however, still leaves PotashCorp in a leading position as it will now have access to a vast direct-to-farmer global retail network, developed by Agrium.
Nutrien’s head offices will be in Saskatoon, Saskatchewan, where PotashCorp is based. It will also have a corporate office in Calgary, which is Agrium’s home city.