The Tadawul-listed company will acquire an 85 per cent stake in Meridian Fertilisers Group in an all cash deal that will provide Ma’aden with 3,000 staff and a network of operations across Southern Africa.
Sunday 21, April 2019 BY KUDAKWASHE MUZORIWA
Saudi Arabia’s Ma’aden has acquired Mauritius-based Meridian Fertilisers Group, marking the Kingdom-based phosphate producer’s first international acquisition in a deal that is expected to be completed by September in an undisclosed fee.
Darren Davis, the President and CEO of Ma’aden, said, “This acquisition marks a very important step in Ma’aden’s strategy to build global distribution channels for our fertiliser products, as we continue to build one of the largest producers and exporters of phosphate fertilisers in the world, ensuring an efficient route to key growth markets is critical to our success.”
Ma’aden stated that it will secure the remaining 15 per cent of Meridian’s equity over the next four years on agreed terms linked to the performance of the African company, which distributes approximately half-a-million tonnes of fertiliser through its network of granulation and blending plants, warehousing complexes and port facilities.”
HSBC acted as Ma’aden’s financial advisor on the deal, while Baker McKenzie was the legal advisor.