Tags: US | Terra | CF | Industries

Terra Favors CF's $4.7 Billion Bid Over Norway's Yara

Wednesday, 10 Mar 2010 11:24 AM

 

  Comment  |
   Contact  |
  Print   |
    A   A  
  Copy Shortlink

Fertilizer company Terra Industries said Wednesday its board favors a bid to be acquired by CF Industries instead of a previous agreement with Norway's Yara.

Terra, based in Sioux City, Iowa, has given Yara five business days to meet or beat CF's offer. Yara's $4.1 billion buyout deal was announced last month.

Chemical maker CF Industries Holdings Inc., based in Deerfield, Ill., last week offered to buy Terra Industries Inc. in a cash and stock deal valued at $4.7 billion.

"We believe that Terra is worth more to CF Industries than to any other acquirer," CF President and CEO Stephen R. Wilson said in a statement.

Yara said its board is considering how to respond. The deadline for its response is March 17 at 5 p.m. EST.

If Terra chooses the new bid from CF, Terra will owe Yara a $123 million break-up fee, according to Yara.

"We've been waiting for the Terra board to come up with its response, and now we have it," Yara spokesman Asle Skredderberget said in a telephone interview. "So, our board now has five days to decide what to do," he said.

Terra shares gained 62 cents to $46.45 in morning trading. CF shares rose 87 cents to $101.50.


© Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

  Comment  |
   Contact  |
  Print   |
  Copy Shortlink
Around the Web

Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 

You May Also Like
Around the Web

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved