Report
Jeffrey Stafford
EUR 147.86 For Business Accounts Only

Market's Positive Response to a PotashCorp-Agrium Tie Up Looks a Bit Optimistic

Agrium has confirmed that it is in discussions with PotashCorp regarding a potential "merger of equals." News reports say a deal could be agreed upon as early as next week. Without the disclosure of merger terms, we're sticking with our current fair value estimates for now--PotashCorp at $20 per share (CAD 26) and Agrium at $96 per share (CAD 125). But we would likely adjust our fair value estimates upward if a deal is agreed upon, based primarily on cost synergies, with less impact from firmer ...
Underlying
Agrium Inc.

Agriumis a retailer of agricultural products and services in the U.S., Canada, Australia, Argentina, Brazil, Chile and Uruguay and a producer and wholesale marketer of nutrients for agricultural and industrial markets. Co. reported its business through two business units, Retail, which operates in North and South America and Australia, providing crop inputs and services directly to farmers; and Wholesale, which operates in North and South America and Europe, and produces, markets and distributes all major crop nutrients for agricultural and industrial customers both domestically and around the world.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
Jeffrey Stafford

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