Brazil’s Fertilizantes Heringer may wind up under the control of Russian players Uralkali Group and Uralchem Group, pending regulatory approval, according to a Bloomberg report citing regulatory filings. Controlling shareholder, Heringer Participacoes, and its quotaholders executed a binding letter of intent with Uralkali and Uralchem to subscribe for new issuance of common shares, in Heringer’s capital increase, for 2 reais per share. After the completion the capital increase Uralkali and Uralchem will hold shares representing the control of Fertilizantes Heringer. The total amount of capital increase will be no less than $59 million and no more than $115 million.
Heringer has been in bankruptcy proceedings. Nutrien Ltd. and OCP Group are both minority holders in Fertilizantes Heringer, with about 10 percent each.