At a special meeting for Agrium securityholders held Thurs., Nov. 3, they overwhelmingly voted to approve the company’s proposed merger with Potash Corporation.
More than 78% of the shares and voting options were voted at the meeting. They voted 98% in favor of the merger. The same day, PotashCorp shareholders voted with nearly identical enthusiasm – 99% of the shares voted in favor of the merger.
“Today's approval represents a key milestone in the process to combine our two companies and create a new world-class integrated global supplier of crop inputs and services," says Chuck Magro, President and Chief Executive Officer of Agrium. "In addition to generating compelling value for shareholders, the integrated platform established through this combination will create benefits for customers, suppliers, and employees of both companies. We look forward to realizing the upside potential ahead."
The companies say the transaction should close mid-2017, as they have previously announced. The merger is still subject to “the satisfaction of customary closing conditions, including receipt of regulatory approvals and final approval by the Canadian court.”
The merged company could generate up to $500 million annual “operating synergies,” according to a joint company statement.
The merged company’s new name will be named prior to the transaction’s closing. Upon closing, it will be the largest crop nutrient company in the world.