Brazil's Vale Buys Almost All Outstanding Shares In Fertilizer Unit

Brazilian mining company Vale SA (VALE, VALE5.BR) acquired almost 100% of the outstanding shares in its fertilizer unit Vale Fertilizantes S/A (FFTL4.BR) at a stock exchange auction on Monday, paving the way for a planned delisting of the unit.

Vale acquired 100% of the outstanding voting shares in Vale Fertilizantes, totaling 211,014, and 99.99% of the outstanding preferential shares in the unit, totaling 82.92 million, for a previously announced price of 25 Brazilian reais ($13.66) each, BM&FBovespa said in an email.

Vale Fertilizantes was formed to group together the Brazilian fertilizer assets of Bunge Ltd. (BG), Yara and Mosaic. Vale acquired those assets in 2010 for $5.83 billion.

Shares in the fertilizer company remained stable at Friday's closing price of BRL24.80 immediately following the auction in Brazil. Vale's preferential VALE5.BR shares traded 2.35% lower at BRL38.20 on the Bovespa exchange.

-By Diana Kinch, Dow Jones Newswires; 55-21-2586-6086; diana.kinch@dowjones.com

Bunge Global (NYSE:BG)
Historical Stock Chart
From May 2024 to Jun 2024