OAO Phosagro (PHOR), Europe’s largest phosphate fertilizer maker, said owners of more than 10 percent of shares in its Apatit unit had agreed to a buy out offer, clearing the way for it to take 100 percent control.
Phosagro announced an offer to buy the 15 percent of Kirovsk, Russia-based Apatit it didn’t already own on Nov. 8, a month after it won a tender to buy the Russian government’s 20 percent stake for 11.1 billion rubles ($356 million). That brought its ownership in Apatit, alongside affiliated parties, to about 85 percent, triggering a mandatory takeover offer for the rest of the company under Russian regulations.
Minority owners of more than 10 percent of Apatit shares accepted the offer of 6,679.90 rubles per common share and 5,344 rubles per preferred share, Phosagro said in a regulatory filing today. That should be enough to force the remaining investors to agree the deal before a Jan. 17 deadline, according to Phosagro.
“Once Phosagro and its affiliates surpass 95 percent in the company in the tender offer, it receives the right to squeeze out the remaining shareholders,” Phosagro’s press service said in an e-mail. The company will consider the opportunity, it said.
Phosagro may spend as much as $290 million on the integration of Apatit, Sberbank Investment Research said in Nov. 9 note.
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