EANS-News: K+S Aktiengesellschaft EuroChem to Acquire K+S Nitrogen
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Company Information/K+S Aktiengesellschaft
Kassel (euro adhoc) - Joint Press Release
Kassel / Moscow, 8 May 2012
EuroChem to Acquire K+S Nitrogen
K+S Aktiengesellschaft has signed an agreement with EuroChem regarding the sale
of K+S Nitrogen, one of the leading suppliers of nitrogenous fertilizers.
The transaction, with an enterprise value of EUR 140 million for K+S Nitrogen,
is likely to be closed at the end of the second quarter of 2012. The effective
economic date of the transfer is 31 March 2012. The sale is subject to a number
of factors, including approval by the EU antitrust authority.
For K+S, the sale will generate a book profit of around EUR 70 to 80 million,
depending on the net earnings of K+S Nitrogen generated by the time the
transaction is closed together with other effects. From now on, K+S Nitrogen
will be stated as a "discontinued operation". In financial year 2011, K+S
Nitrogen generated revenues of EUR 1,156.8 million and operating earnings EBIT
I of EUR 69.4 million.
"We are pleased to have found a well-suited new owner for K+S Nitrogen in
EuroChem. Against the backdrop of the recently concluded sale of the fertilizer
activities of BASF in Antwerp, the sale to EuroChem is the best option from the
perspective of K+S, but also of the employees of K+S Nitrogen," says Norbert
Steiner, Chairman of the Board of Executive Directors of K+S
Aktiengesellschaft. "I would like to express my particular thanks to the
employees of K+S Nitrogen for their extraordinary commitment in recent years,"
Steiner continues.
EuroChem CEO Dmitry Strezhnev commented: "K+S Nitrogen is a natural extension
to our recently acquired EuroChem Antwerpen operations. This acquisition
provides us with a world-renowned platform while further securing our
competitiveness in key markets worldwide. We welcome the highly skilled staff
of K+S Nitrogen and our clients and partners may rest assured that the high
level of service they have grown accustomed to with K+S Nitrogen will be
maintained."
The strategy of the K+S Group provides for growth in the Potash and Magnesium
Products and the Salt business segments in particular and for focusing
management resources and financial means on this accordingly. Against this
background, K+S had sold the business activities of COMPO to the investment
company Triton last year.
About K+S Nitrogen
K+S Nitrogen markets nitrogenous fertilizers with a focus on major customers in
agriculture and special crops such as fruits, vegetables and grapes. In
addition to the fertilizers produced by EuroChem Antwerpen and delivered by
BASF for it, K+S Nitrogen also markets the goods of other reputable European
fertilizer producers. The company is based in Mannheim, Germany, and employs
about 180 people worldwide. More information is available atwww.ks-
nitrogen.com.
About EuroChem
EuroChem is a leading global agrochemical company, 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 is currently developing two sizeable potash deposits in Russia with
the Gremyachinskoe (4.6 mtpa) and Verkhnekamskoe (3.4 mtpa) greenfield
projects. Please visit www.eurochem.ru for further information.
About K+S
The K+S Group is one of the world's leading suppliers of standard and
speciality fertilizers. In the salt business, K+S is the world's leading
producer with sites in Europe as well as North and South America. K+S offers a
comprehensive range of goods and services for agriculture, industry, and
private consumers, which provides growth opportunities in virtually every
sphere of daily life. The K+S Group employs more than 14,000 people. The K+S
share - the commodities stock on the German DAX index - is listed on all German
stock exchanges (ISIN: DE000KSAG888, symbol: SDF). More information about K+S
can be found at www.k-plus-s.com.
Your contact persons:
Press:
Michael Wudonig, CFA
Phone: +49 561 9301-1262
Fax: +49 561 9301-1666
michael.wudonig@k-plus-s.com
Investor Relations:
Christian Herrmann, CFA
Phone: +49 561 9301-1460
Fax: +49 561 9301-2425
christian.herrmann@k-plus-s.com
Further inquiry note:
Press:
Michael Wudonig, CFA
Telefon: +49 561 9301-1262
Fax: +49 561 9301-1666
michael.wudonig@k-plus-s.com
Investor Relations:
Christian Herrmann, CFA
Telefon: +49 561 9301-1460
Fax: +49 561 9301-2425
christian.herrmann@k-plus-s.com
end of announcement euro adhoc
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company: K+S Aktiengesellschaft
Bertha-von-Suttner-Straße 7
D-34131 Kassel
phone: +49 (0)561 9301-1460
FAX: +49 (0)561 9301-2425
mail: christian.herrmann@k-plus-s.com
WWW: http://www.k-plus-s.com
sector: Chemicals
ISIN: DE000KSAG888
indexes: DAX, Midcap Market Index, CDAX, Classic All Share, HDAX, Prime All
Share
stockmarkets: regulated dealing: Hannover, Berlin, München, Hamburg, Düsseldorf,
Stuttgart, regulated dealing/prime standard: Frankfurt
language: English