ICL parent reports no contacts with PotashCorp

Tel Aviv — Israel Corp. has informed the Beer Sheba District Labor Court that no contacts or negotiations are currently underway with Potash Corp. of Saskatchewan Inc. for the merger of Israel Chemicals Ltd. (ICL) and the Canadian company. Israel Corp., which holds a majority stake in ICL, said in a response to the court that PotashCorp had contacted the Israeli government on the matter, but that Israel Corp. had not been contacted. The response followed a demand by the Dead Sea Works union to receive an update on the contacts for the proposed merger. The union, along with those of other ICL subsidiaries, launched a campaign against the proposed merger and declared a work dispute in an effort to prevent it from going ahead. The matter was taken before the Beer Sheba District Labor Court in an effort to prevent the workers from imposing any sanctions. The state is also expected to give its response to the court. Meanwhile, the union has hired a public relations firm to help in its campaign against the proposed merger. The issue is likely to heat up in the coming weeks after the Israeli elections on Jan. 22. The new government will have to deal with the issue and take a position. Union representatives met earlier this month with Israeli Prime Minister Benjamin Netanyahu to make clear their opposition to the sale of ICL to PotashCorp.