Potash Corp. to Avoid Israel Chemicals Takeover Plans

Potash Corp. of Saskatchewan Inc. has reported an enhanced first quarter profit, declaring $556 million or 63 cents per share of net income, which beats estimates of all analysts. Although, the company’s expectation for the second quarter has now reached an approximate of 70-85 cents per share, its 2013 guidance remains unchanged at between $275 and $3.25 per share.

The president and CEO of PotashCorp, Bill Doyle, mentioned on Thursday, that “with farmers around the world motivated to capitalize on the link between fertility and profitability, the first quarter gave us an opportunity to demonstrate our ability to deliver.” He explained that “we had significant growth in our potash performance as global buyers returned to the market in earnest after taking a brief pause late in 2012. This environment enabled us to deliver earnings near the top end of our guidance and laid the foundation for what we believe will be a successful year.”

In its quarterly statement, PotashCorp announced that “over recent months, we have been exploring the possibility of expanding our ownership interests in ICL. While we continue to believe that such a transaction would be of tremendous benefit to stakeholders of both companies and the State of Israel, there must be receptivity to foreign investment and certainty in the rules that govern such investment. We have therefore concluded that now is not the time to pursue this opportunity and will focus our energies on other options to maximize shareholder value.”

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