Indonesia's Pupuk Kaltim in talks to buy Australian Incitec Pivot's fertiliser business: Sources

  • 📰 ChannelNewsAsia
  • ⏱ Reading Time:
  • 51 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 24%
  • Publisher: 66%

Business News News

Business Business Latest News,Business Business Headlines

SINGAPORE/SYDNEY : Indonesian state-owned fertiliser company PT Pupuk Kalimantan Timur, or Pupuk Kaltim, is in talks to acquire the fertiliser business of Australian-listed Incitec Pivot, two sources familiar with the matter said. Pupuk Kaltim, which is Southeast Asia's biggest urea fertiliser maker, has e

SINGAPORE/SYDNEY : Indonesian state-owned fertiliser company PT Pupuk Kalimantan Timur, or Pupuk Kaltim, is in talks to acquire the fertiliser business of Australian-listed Incitec Pivot, two sources familiar with the matter said.

Incitec Pivot commands a market value of A$5.73 billion as of Monday . The Southbank, Victoria-headquartered company produces and distributes fertilisers and explosives and employs more than 5,800 employees, according to its website. One analyst said the fertiliser business could be worth around US$1.2 billion.

Incitec's spokesperson told Reuters in response to a query on Monday that the company is not commenting beyond a statement it issued on Jul 12 saying it has"received a number of approaches for the potential acquisition of its fertilisers business".The talks come as Pupuk Kaltim is on an expansion trail. The Kalimantan-based firm announced in March that it was planning to invest at least US$1 billion to increase capacity and set up a soda ash plant.

Pupuk Kaltim has 13 factories, including five ammonia plants with a capacity of 2.74 million metric tonnes a year and five urea factories producing 3.43 million metric tonnes per year, its website shows.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 6. in BUSÄ°NESS

Business Business Latest News, Business Business Headlines