Key Takeaways
- Adecoagro submitted a binding offer to acquire YPF’s 50% share in Profertil, matching terms previously agreed with Nutrien.
- The potential US$600 million transaction would bring Adecoagro’s ownership in Profertil to 90%.
- Profertil is South America’s largest granular urea producer, supplying about 60% of Argentina’s consumption.
- The company plans to finance the deal through cash reserves, a committed long-term credit facility, and equity proceeds.
- Leadership said the planned acquisition strengthens the company's integrated model and long-term growth.
Adecoagro Advances Bid to Become Controlling Shareholder of Profertil
Adecoagro has submitted a binding offer to acquire YPF’s 50% stake in Profertil S.A., South America’s largest granular urea producer. The offer mirrors the terms previously agreed between Adecoagro and Nutrien, reflecting a purchase price of approximately US$600 million. Conditions related to Adecoagro’s acquisition of Nutrien’s equivalent 50% stake have already been fulfilled.
Approval of the binding offer will be evaluated by YPF’s Board of Directors in December 2025. If approved, the company would own 90% of Profertil, with the remaining 10% held by Asociación de Cooperativas Argentinas.
Mariano Bosch, Co-Founder and CEO of Adecoagro, stated: “This transaction marks a significant milestone for Adecoagro, enhancing our scale, diversifying our portfolio, and strengthening the Company’s long-term performance… The acquisition of Profertil positions Adecoagro as a key supplier to the regional agricultural sector.”
Emphasizes Strategic and Financial Importance of Profertil
Profertil operates a major industrial complex in Bahía Blanca—Argentina’s leading petrochemical hub—with annual production capacity of 1.3 million metric tons of urea and 790,000 metric tons of ammonia. The company supplies an estimated 60% of Argentina’s urea demand and reported an average annual EBITDA of US$390 million between 2020 and 2024.
Financing for the acquisition will come from the company's cash reserves, a committed long-term credit facility, and equity issuance proceeds.
Juan Sartori, Chairman of Adecoagro’s Board of Directors, commented: “Adecoagro combines high-quality, low-cost production assets with a strong and experienced management team. This acquisition accelerates the Company’s growth trajectory… Profertil is a best-in-class company, essential to Argentina and South America's agricultural production chain.”
Adecoagro Plans Full Consolidation of Profertil Following Closing
The transaction, subject to standard closing conditions, is expected to be finalized by December 31, 2025. Upon completion, Adecoagro will fully consolidate Profertil into its operations, strengthening its integrated production model and securing a key input for regional agricultural and food-production sectors.
