Nutrien
Type | Public company |
---|---|
TSX: NTR S&P/TSX 60 Component | |
Industry | Agriculture |
Predecessors | PotashCorp, Agrium |
Founded | 2018 |
Headquarters | Saskatoon, Saskatchewan, Canada |
Number of locations | 1200 stores (2018) |
Area served | Worldwide |
Key people | Mayo Schmidt (President & CEO),[1] and Russ Girling (Executive Chair Will Lefebvre (Peon) |
Revenue | $20.908 billion (2020) [2] |
$902 million (2020) [3] | |
$459 million (2020) [4] | |
Total assets | $47.192 billion (2020) [5] |
Total equity | $22.365 billion (2020) [6] |
Number of employees | 23,100 (2020) [7] |
Subsidiaries | Agrium, PotashCorp (PCS), Agrichem do Brasil S.A., Agrible, Inc., Actagro, Grupo TEC AGRO, |
Website | Official website |
Nutrien is a Canadian fertilizer company based in Saskatoon, Saskatchewan. It is the largest producer of potash and the third largest producer of nitrogen fertilizer in the world.[8] It has 1,500 retail stores and more than 23,100 employees.[9] It is listed on the Toronto Stock Exchange (symbol NTR) and New York Stock Exchange (symbol NTR), with a market capitalization of $34 billion as of January 2018.[9] It was formed through the merger of PotashCorp and Agrium, in a transaction that closed on January 1, 2018.[10]
Merger[edit]
PotashCorp and Agrium first proposed merging in September 2016. The merger was suggested in the context of low fertilizer prices, leading to the hope that a larger company will be better able to increase prices.[8] The new company also hopes to reduce costs through consolidation; it estimates that it will be able to decrease costs by $500 million USD.[11]
The transaction was originally expected to close in mid-2017, but was delayed to January 2018 because of regulatory hurdles; final regulatory approval from the United States Federal Trade Commission (FTC) was only received in December 2017. Based on the terms of the merger, former PotashCorp shareholders were given 52% of Nutrien, while Agrium shareholders were given 48%.[11] Agrium CEO Charles Magro became CEO of the new company, while PotashCorp CEO Jochen Tilk became Executive Chair.[9] Nutrien is based in Saskatoon, the former headquarters of PotashCorp, but it will maintain corporate offices in Calgary, the former headquarters of Agrium.
Acquisitions and divestments[edit]
In May 2018, Nurtien announced it would sell to Tianqi Lithium a 24% stake in the Chilean mining company Sociedad Química y Minera (SQM) for approximately $4.1 billion.[12][13] Tianqi was to purchase 62.5 million SQM A shares for $65 each. Nutrien needed to satisfy the Chinese and Indian regulators because of concerns it would corner the potash market.[13][14][15] The sale closed on 5 December 2018.[16]
In February 2019 Nutrien, through its Australian subsidiary Landmark Operations[17] announced the proposed acquisition of Australian rural retail organization RuralCo.[18] The acquisition was finalized on October 1, 2019, after which Ruralco was delisted from the ASX.[19] After this acquisition, Nutrien now supplies 650 rural merchandise stores in Australia, or approximately 45% of all rural merchandise stores in Australia. [20]
Competition[edit]
Nutrien's main competitors include other potash, phosphate and nitrogen producers, such as The Mosaic Company, Yara International ASA, CF Industries Holdings Inc and K+S AG.
References[edit]
- ^ https://www.nutrien.com/investors/news-releases/2021-nutrien-announces-appointment-mayo-schmidt-president-and-ceo
- ^ https://www.statista.com/statistics/977916/revenue-of-nutrien/#:~:text=In%202020%2C%20Nutrien%20reported%20some,leading%20fertilizer%20producers%20in%20general.
- ^ https://www.macrotrends.net/stocks/charts/NTR/nutrien/operating-income
- ^ https://www.macrotrends.net/stocks/charts/NTR/nutrien/net-income
- ^ https://www.macrotrends.net/stocks/charts/NTR/nutrien/total-assets
- ^ https://www.macrotrends.net/stocks/charts/NTR/nutrien/balance-sheet
- ^ https://www.macrotrends.net/stocks/charts/NTR/nutrien/number-of-employees
- ^ a b "Potash and Agrium plan to merge and create $36B US agricultural colossus". CBC News. Retrieved 2018-01-03.
- ^ a b c "Nutrien shares start trading on TSX and NYSE after Agrium, PotashCorp merger". Global News. Retrieved 2018-01-03.
- ^ "Merger of PotashCorp and Agrium finalized as shares in Nutrien start trading". CBC News. Retrieved 2018-01-03.
- ^ a b "Agrium, PotashCorp merger will 'impact the entire industry,' including thousands of farmers: prof". CBC News. Retrieved 2018-01-03.
- ^ Rashi, Akshat (May 30, 2018). "One Chinese company now controls most of the metal needed to make the world's advanced batteries". Quarts.
- ^ a b Swamynathan, Yashaswini; Nicholson, Marcy (May 17, 2018). "China's Tianqi Lithium to buy a quarter of Chile's SQM for $4.1 billion". Reuters.
China’s Tianqi Lithium Corp (002466.SZ) said on Thursday it will buy nearly a quarter of Chilean lithium producer SQM SQMa.SN for $4.1 billion, gaining it coveted access to a key ingredient in rechargeable batteries that power mobile phones and electric cars.
- ^ Epstein, Evan (10 October 2018). "Proposed Settlement Does Not Solve U.S. Antitrust & Governance Concerns in $4.1B Lithium Saga". Medium.
- ^ Kreisle, Nicholas (July 2020). "Price Effects from the Merger of Agricultural Fertilizer Manufacturers Agrium and PotashCorp" (PDF) (345). US Federal trade Commission.
- ^ "Nutrien Closes the Sale of SQM A Shares to Tianqi Lithium". Berkshire Hathaway. Business Wire, Inc. 5 December 2018.
- ^ https://www.landmark.com.au/ Landmark Operations
- ^ https://www.asx.com.au/asxpdf/20190227/pdf/4430v0cv3wwr8q.pdf (ASX announcement)
- ^ https://www.asx.com.au/asxpdf/20191001/pdf/4492ps2s1b8sfg.pdf (ASX announcement)
- ^ https://www.accc.gov.au/media-release/concerns-about-landmark%E2%80%99s-proposed-acquisition-of-ruralco ACCC announcement