|By PR Newswire||
|December 23, 2013 03:58 AM EST||
TEL AVIV, Israel, December 23, 2013 /PRNewswire/ --
- Acquisition Expands ICL Performance Products' Position in Global Markets for Purified Phosphoric Acid While Expanding Its South American Footprint -
- Acquisition in Line with ICL's "Next Step Forward Strategy" to Maintain Growth for the Next Decade through Acquisitions in the Food, Agriculture and Engineered Materials Markets -
ICL (TASE:ICL), a global unique minerals-based products producer that fulfills humanity's essential needs in the agriculture, food and engineered materials markets, today announced it has entered into a definitive agreement to acquire Vale Fertilizantes's share in Fosbrasil S.A., a joint venture producing Purified Phosphoric Acid and raw materials for fertilizers located in Brazil. The proposed transaction is subject to the approval of Brazilian competition authorities (CADE) and other customary approvals. The purchase of Vale's shares will increase ICL's ownership share to a majority position in a major producer of phosphoric acid in South America.
The transaction supports and is in concert with ICL's recent announcement on its new strategy "The Next Step Forward," as the acquisition is directly connected to targeted attractive end markets of food, engineered materials and agriculture. Phosphoric acid is a key ingredient in a variety of food and beverage products, and is also used in food processing and a number of industrial applications. It is also a key raw material for the production of phosphate salts.
ICL is an important global producer and marketer of phosphoric acids and phosphates, with production locations in Brazil, the United States, Mexico, Germany, Israel and China. This transaction is another example of ICL's commitment to being a long-term, secure supplier to its customers, as ICL continues to invest globally in its production processes, customer technology support capabilities, and overall service levels.
"This acquisition complements ICL's global position in phosphoric acid and phosphates," commented Mr. Mark Volmer, President and CEO of ICL Performance Products. "It is the next step in the global expansion strategy that we have been following for the past decade, carrying out complementary acquisitions that have transformed our Company into a rapidly-growing major global player in the essential needs areas of food, engineered materials, and agriculture."
ICL is a global unique minerals based products producer that fulfills humanity's essential needs, primarily in three markets: agriculture, food and engineered materials. The Company's diversified portfolio of minerals and downstream products help to increase global food supplies, improve industrial materials and processes, and make energy exploration activities more efficient and eco-friendly.
ICL produces approximately a third of the world's bromine, and is the sixth largest potash producer as well as the leading provider of pure phosphoric acid. It is a major manufacturer of specialty fertilizers and specialty phosphates, flame retardants and water treatment solutions. ICL's mining and manufacturing operations, located in Israel, Europe, the Americas and China, are supported by a global distribution and supply network.
ICL benefits from a number of unique advantages, including its vertically integrated activities and complementary and synergistic downstream operations for the production of unique end products; its balanced and varied product portfolio in growing markets; and its worldwide presence with proximity to major global markets in developing regions.
ICL's shares are traded on the Tel Aviv Stock Exchange (TASE: ICL).
About ICL Performance Products
ICL Performance Products produces and markets food and pharma additives, specialty grades of phosphoric acid and phosphate salts, P2S5, and other products and services for the detergents, water treatment, paper and hygiene markets. Its production facilities are located in Europe, North and South America, Israel, Australia and China. For more information, please visit http://www.icl-pp.com.
Fleisher Communications and Public Relations
SOURCE ICL Ltd