CF Industries Remains Committed to OCI Merger, Exploring Deal Structures
November 23 2015 - 7:22AM
Dow Jones News
By Anne Steele
Fertilizer maker CF Industries Holdings Inc. and Dutch
counterpart OCI NV said Monday they remain "fully committed" to a
merger and are evaluating options after the U.S. Treasury unveiled
new rules meant to curb such tax-saving "inversion" deals.
The Treasury notice, announced Wednesday, prevents a U.S.
company from buying a foreign firm and then moving to a third
country so long as the U.S. outfit's shareholders will own more
than 60% of the combined entity.
That would seem to complicate Deerfield, Ill.-based CF's plans
to buy Netherlands-based OCI's European, North American and global
distribution businesses, reincorporate in the U.K. and give CF's
investors a 74% stake.
The companies said their evaluation includes exploring
alternative structures for the combination, such as using a parent
company in The Netherlands rather than one in the United Kingdom.
They said any agreement regarding a new structure will require the
approval of each company's board of directors and shareholders.
CF shares, which dipped Thursday and Friday, were inactive
premarket Monday.
Write to Anne Steele at anne.steele@wsj.com.
Subscribe to WSJ: http://online.wsj.com?mod=djnwires
(END) Dow Jones Newswires
November 23, 2015 07:07 ET (12:07 GMT)
Copyright (c) 2015 Dow Jones & Company, Inc.
OCI NV (EU:OCI)
Historical Stock Chart
From Jun 2024 to Jul 2024
OCI NV (EU:OCI)
Historical Stock Chart
From Jul 2023 to Jul 2024