Privately-held agribusiness, Cargill, is planning to sell its 64% stake in Minnesota-based fertilizer company, Mosaic, in a tax-free split-off deal worth about $24.3 billion, The Wall Street Journal reports. Cargill will let its shareholders exchange its shares for about 179 million Mosaic shares held by it and will swap the remaining 107 million Mosaic shares for the debt owned by its bondholders and others.
BHP Billiton and Brazilian miner, Vale, may be interested in Mosaic, which has a market capitalization of $38 billion. Credit Suisse and law firm, Fried, Frank, Harris, Shriver & Jacobson are advising Cargill, while JP Morgan Chase and law firm, Simpson Thacher & Bartlett are advising the special committee of Mosaic’s board of directors.
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