Key Takeaways
- Nutrien Ltd. to sell its 50% equity position in Argentina-based Profertil S.A.
- Adecoagro S.A. and Asociacion de Cooperativas Argentinas Coop Ltda to jointly acquire the stake.
- Sale price valued at approximately US$600 million pre-tax.
- Proceeds to be directed toward growth investments, share repurchases, and debt reduction.
- Transaction expected to close before the end of 2025, subject to conditions and right of first refusal.
Nutrien Finalizes Agreement on Profertil Divestment
Nutrien Ltd. (TSX and NYSE: NTR) announced it has reached an agreement to sell its 50 percent equity stake in Argentina-based nitrogen producer Profertil S.A. The joint acquisition will be completed by Adecoagro S.A. and Asociacion de Cooperativas Argentinas Coop Ltda, with a purchase price of approximately US$600 million on a pre-tax basis.
Nutrien’s Strategic Focus
According to Nutrien’s President and CEO, Ken Seitz, the decision aligns with the company’s broader strategic priorities. “The agreement to sell our equity stake in Profertil advances our strategy to focus on assets and geographies that are core to our long-term vision,” Seitz said. He added that the proceeds would be allocated toward targeted growth investments, share repurchases, and debt reduction, supporting long-term earnings quality and cash flow generation.
Conditions and Timeline for Completion
The transaction remains subject to customary closing conditions and is expected to be finalized before the end of 2025. Under Profertil’s shareholder agreement, the remaining 50 percent owner has a 90-day right of first refusal to purchase Nutrien’s equity under the same terms.
BofA Securities is serving as Nutrien’s financial advisor in the process.
Profertil’s Contribution to Nutrien
Profertil, a key nitrogen producer in Argentina, has been an important part of Nutrien’s operations. The company reported that its proportionate share of Profertil’s earnings contributed about US$60 million over the previous four quarters within Nutrien’s Nitrogen operating segment.
Nutrien Ltd.
Nutrien Ltd. is a global provider of crop inputs and services, with a large-scale network of production, distribution, and ag retail facilities. The company serves agricultural, industrial, and feed customers through the supply of potash, nitrogen, and phosphate products, totaling approximately 27 million tonnes annually.
Nutrien’s retail network supports over 600,000 customer accounts worldwide. Its operations span the agricultural value chain, with a focus on improving on-farm productivity. The company emphasizes long-term value creation through investments, stakeholder engagement, and farmer-focused services.
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