Compass Minerals reported on April 20 that it has completed the sale of the company’s South America chemicals business to a subsidiary of Cape Acquisitions LLC. The sale includes all remaining Compass Minerals operations in Brazil, concluding the company’s previously announced plan to exit the South American market.
Upon closing of the all-cash transaction, Compass Minerals received gross sale proceeds of approximately R$236 million, or $51 million based on current exchange rates, subject to a post-closing adjustment. The company intends to use the proceeds from the sale to pay down debt.
“We are pleased to have taken this final step in our Brazil sale process, further optimizing our asset base and enabling additional debt reduction,” said President and CEO Kevin Crutchfield. “Our board and senior management team remain acutely focused on maximizing value within our core Salt and Plant Nutrition businesses, while strategically pursuing organic opportunities to accelerate the growth of our essential minerals portfolio into adjacent markets.”
Compass completed the sale of its South America specialty plant nutrition business to a subsidiary of ICL Group, Tel Aviv, last year (GM July 2, 2021).