AMSTERDAM—U.S. fertilizer maker CF Industries Holding Inc. on
Thursday said it had reached an agreement to merge with parts of
Netherlands-based OCI NV in a deal valued at $8 billion.
CF Industries said it would combine with OCI's European, North
American and global distribution operations. The transaction is
valued at $8 billion based on CF Industries current share price and
includes $2 billion in debt.
Under the agreement, the companies will create a new holding
company domiciled in the U.K. in which CF Industries shareholders
will own a 72.3% stake. The remainder will be held by shareholders
in OCI.
The companies said the deal will create the world's largest
publicly-traded nitrogen company and comes amid a global takeover
wave in the chemical sector.
Following the completion of the transaction, OCI's business will
consist of a portfolio of industrial chemicals and nitrogen
fertilizers. It will remain headquartered in the Netherlands and
listed on the Euronext Amsterdam.
CF Industries and OCI on July 20 confirmed they were in talks
following a report by the Wall Street Journal.
Write to Maarten van Tartwijk at maarten.vantartwijk@wsj.com
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