CVR Energy Inc. is currently considering strategic transactions with its majority owner (66%) Icahn Enterprises LP (IEP) involving nitrogen producing unit CVR Partners LP, according to March 18 filings after markets closed.
CVR Energy, which owns approximately 36.8% of CVR Partners, may opt to buy some or all outstanding publicly held shares of the fertilizer company, or sell CVR Partners. CVR Energy and IEP are “indirectly controlled” by billionaire Carl Icahn, according to the filing.
CVR Partners’ common units are listed on the New York Stock Exchange under the symbol UAN. CVR Energy owns a 100% interest in CVR Partners’ general partner CVR GP LLC. CVR Partners operates nitrogen producing facilities in Coffeyville, Kan., and East Dubuque, Ill.
CVR Partners’ units closed at $74.25 on March 19, up 16.5% from the March 18 close, while CVR Energy’s moved up 1.9% to close at $36.24.
CVR Energy and IEP are also considering the acquisition of additional refining assets. CVR Energy currently operates refineries in Coffeyville and Wynnewood, Okla.
Mark Smith and James Strock, two CVR Energy Independent Directors, have been named to the Board’s Special Committee-Strategic, which was formed to consider, evaluate, and negotiate the potential strategic transactions noted above on behalf of the company.