K+S acquires 75% stake in Industrial Commodities Holdings fertilizer business to expand presence in Africa

K+S acquires 75% stake in Industrial Commodities Holdings fertilizer business to expand presence in Africa

(IN BRIEF) K+S, a global leader in fertilizers and specialties, has agreed to acquire 75% of the fertilizer business of South African trading company Industrial Commodities Holdings. The new business will operate under the name Fertiva (Pty) Ltd and the closing of the transaction is subject to regulatory approvals, targeted to close during Q2 2023. The acquisition will also see the formation of a distribution network with the already existing K+S Group companies in Kenya and Uganda, further strengthening K+S’ market presence in the Sub-Saharan region.

(PRESS RELEASE) KASSEL, 26-Jan-2023 — /EuropaWire/ — K+S AG (ETR: SDF), a German chemical company, announced today that it has agreed to acquire 75% of the fertilizer business of Industrial Commodities Holdings (Pty) Ltd (ICH), a South African trading company. The new business will operate under the name Fertiva (Pty) Ltd, with the remaining 25% of shares held by two former ICH shareholders who will also form part of the Fertiva management team. The closing of the transaction is subject to regulatory approvals and is targeted to close during the second quarter of 2023.

According to Dr. Josef Wiebel, Head of the Agriculture customer segment at K+S, “With this acquisition, we are further promoting the expansion of our core business and at the same time strengthening our activities in South and East Africa.” ICH has been distributing K+S fertilizers in the southern part of Africa for more than 40 years, as well as products from other manufacturers. Sales volumes of ICH’s fertilizer business in the past financial year (as of June 30, 2022) amounted to a total of approximately 543,000 tonnes of fertilizer.

The acquisition will also see the formation of a distribution network with the already existing K+S Group companies in Kenya and Uganda, further strengthening K+S’ market presence in the Sub-Saharan region.

K+S is committed to making an important contribution to society by enabling farmers to secure the world’s food supply, and by keeping numerous industries running. With around 11,000 employees, production sites on two continents, and a global distribution network, K+S is a reliable partner for its customers, while also being committed to its responsibility towards society and the environment in all regions in which it operates.

Media contact:

Michael Wudonig
Spokesman for corporate topics
K+S Aktiengesellschaft
michael.wudonig@k-plus-s.com

SOURCE: K+S Aktiengesellschaft