UPDATE 2-Potash Corp sees "lots of hurdles" to a takeover of ICL

Wed Nov 28, 2012 2:09pm EST
 
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

* Potash sees compelling case to take over ICL

* Sees markets complementary, not overlapping

* Not concerned about China, India interest in rivals

By Rod Nickel

Nov 28 (Reuters) - Potash Corp of Saskatchewan Inc, the world's biggest potash producer by capacity, sees "lots of hurdles" to its plans to take over Israel Chemicals Ltd , an executive of the Canadian fertilizer company said on Wednesday.

"We just think the possibility of that transaction and what it can do for us in a soft market, and in a strong market, is quite a compelling story," Chief Financial Officer Wayne Brownlee said at a Citi investor conference in New York monitored over the Internet. "The trick is, can we get there? Lots of hurdles to deal with, and we're trying to do that process right now."

Brownlee declined to identify the obstacles to any deal to increase Potash's current 14 percent stake in ICL, the sixth-largest producer of potash, an important crop nutrient.

He said it was difficult to say whether the hurdles were mainly within Israel or with international authorities.

"The truth is, you're not going to get to the international hurdle unless you get past the Israeli hurdle first," Brownlee said. "You've got to get there and see if there's a transaction that's a win-win for (ICL) shareholders and the countries that we have exposure to."   Continued...