Canadian Manufacturing

PotashCorp held talks about increasing stake in Israel Chemical Ltd.

Reports say it could cost $13.5-billion for PotashCorp to increase minority stake in Israeli firm to 100%

SASKATOON—Potash Corporation of Saskatchewan Inc. confirmed it has held talks with Israeli government officials about increasing its stake in Israel Chemical Ltd.

The Saskatoon-based fertilizer giant says no deal has been formulated, nor would it make any assurance any deal can be reached.

It declined further comment but news reports say it could cost $13.5-billion for PotashCorp to increase its minority stake in Israel Chemical to 100 per cent.

PotashCorp already owns about 14 per cent of the Israeli company, but does not hold any board seats.

Israel Corp. owns roughly a 52.3 per cent interest.

ICL has about six-million-tonnes of annual potash capacity and is also a large producer of bromine and magnesium.

PotashCorp is the world’s largest fertilizer company by capacity and Saskatchewan has the world’s largest deposits of potash, which is used to stimulate crop growth.

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