Agrium Ups Offer For CF Industries
Agrium’s newest offer, tendered May 11, would increase the price per outstanding CF industries share by 14.3 percent — or an additional $5 — to CF stockholders, plus one common share of Agrium for each CF share. According to an Agrium press release, the increased offer represents a premium of 53 percent to CF Industries’ close price on Feb. 24, the day before Agrium announced its initial proprosal.
CF Industries has refused to consider Agrium’s previous offers, and continues its own quest to acquire Terra Industries Inc.
“This substantial increase in cash, along with Agrium’s strong and diversified business profile, provides CF stockholders with a very attractive opportunity and reaffirms our commitment to acquiring CF,” says Mike Wilson, Agrium’s president and CEO. “Gving an increase of over 25 percent in the cash component since our initial offer, we believe more than ever that our bid delivers far superior value for CF stockholders compared with any alternatives articulated by CF, including remaining independent or paying a premium for Terra Industries.”
Agrium says it has extended the expiration date of the exchange offer until midnight ET on June 15.