Mosaic Closes Acquisition Of CF Industries' Phosphate Business

(RTTNews) - Fertilizer giant Mosaic Co. (MOS) said Monday it has completed its acquisition of the phosphate business of CF Industries Inc. (CF) for $1.2 billion in cash plus $200 million to fund the company's asset retirement obligation escrow.

Mosaic acquired a 25,000-acre phosphate mine and beneficiation plant, a phosphate manufacturing facility and an ammonia terminal and finished product warehouse facilities in the Tampa area.

The acquired facilities currently produce about 1.8 million tonnes of phosphate fertilizer per year, which will bring Mosaic's annual phosphates capacity to over 11 million tonnes.

"This acquisition provides opportunities for enhanced operating efficiencies, lower production costs and reduced capital investment—creating value for our shareholders, customers and employees," said Mosaic Chief Executive James Prokopanko.