Polyolefins and fertilizers major Borealis AG has launched a squeeze-out for Belgian fertilizer producer Rosier SA at a price of €20 per share (approximately $21.4 at current exchange rates), in accordance with the Belgian Royal Decree on Public Squeeze-Out Offers, the Vienna-based company said on June 10.
The launch of the squeeze-out offer will be subject to obtaining the report of the independent expert stating the elements referred to in Article 6 of the Royal Decree, and to the actual completion of the capital increase, said Borealis. Approval of the latter is on the agenda of the extraordinary shareholders’ meeting on June 16, 2022.
After the envisaged capital increase, Borealis, which already is a majority shareholder in the company, would hold a stake of approximately 98% in Rosier.
Moustier-based Rosier earlier this year sought investor approval for a debt-for-equity swap, aimed at raising €55 million, from Borealis after its assets fell to less than a quarter of its statutory share capital (GM Feb. 11, p. 33).
The beleaguered company produces and distributes a range of granulated fertilizer, liquid fertilizer, NPKs, and hydrosoluble fertilizer. In FY2021, it reported an unaudited net loss of -€36.9 million.
Rosier is not part of Borealis’ parent company Austrian oil and gas multinational OMV AG’s plans to sell Borealis’ Nitrogen business, according to OMV’s FY 2021 annual report statement, published in February.
Borealis last week received a binding offer from the Czech Republic’s chemicals and fertilizer company Agrofert for the acquisition of its Nitrogen business, which includes fertilizer, melamine, and technical nitrogen products (GM June 3, p. 1). The offer values the business on an enterprise value basis at €810 million (approximately $867 million at current exchange rates).