PHILADELPHIA, April 21, 2015 /CNW/ -- FMC Corporation (NYSE:
FMC) today announced that it has completed the closing of its
acquisition of Cheminova A/S, a multinational crop protection
company based in Denmark and a
wholly-owned subsidiary of Auriga Industries A/S. The
companies announced the signing of a definitive acquisition
agreement on September 8, 2014, and
have now satisfied all necessary conditions and regulatory
approvals.
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FMC completed the acquisition of Cheminova for an aggregate
purchase price of approximately $1.8
billion, including assumption of debt. FMC expects the
transaction to be accretive to adjusted earnings in the first full
year following the acquisition.
"The acquisition of Cheminova is fully aligned with our
corporate strategy to focus FMC's portfolio on agriculture, health
and nutrition end markets," said Pierre Brondeau, FMC president,
CEO and chairman. "Cheminova has a highly complementary
product portfolio and geographic footprint and follows a similar
strategic approach to FMC in applying technology to deliver
solutions to its customers. This transaction will broaden our
Agricultural Solutions portfolio and significantly strengthen our
market access."
Brondeau continued, "Cheminova gives us direct market access to
key countries in Europe and
enhances our customer reach in India, Australia and throughout Latin America, bringing greater balance to our
agricultural business. Its technology will enable us to
expand FMC's position in existing crops; accelerate access to
additional crops, such as cereals; and strengthen our offerings to
customers, especially in sugarcane, soybeans and cotton. We
expect to further enhance our innovation pipeline and generate
significant new revenue opportunities for the combined
business."
FMC has been realigning its business portfolio in recent years
to expand its position in the crop protection market. With
the acquisition of Cheminova, and the divestiture of the Alkali
Chemicals business completed on April 1,
2015, FMC Agricultural Solutions is expected to represent
approximately three quarters of the company's total revenue, up
from less than 40 percent as recently as 2009.
The company will provide integration updates during quarterly
earnings calls and at its upcoming Investor Conference on
May 11, 2015.
About FMC Corporation
FMC Corporation is a specialty
company serving agricultural, industrial and consumer markets
globally for more than a century with innovative solutions,
applications and quality products. In 2014, FMC had annual
sales of approximately $3.3 billion
from continuing operations (excluding sales from the divested
Alkali Chemicals business). In 2014, Cheminova had sales of
DKK 6.8 billion. FMC employs
approximately 7,000 people (including employees from Cheminova)
throughout the world and operates its businesses in three segments:
FMC Agricultural Solutions, FMC Health and Nutrition and FMC
Lithium. For more information, visit www.FMC.com.
Safe Harbor Statement under the Private Securities Act of
1995: Statements in this news release that are forward-looking
statements are subject to various risks and uncertainties
concerning specific factors described in FMC Corporation's 2014
Form 10-K and other SEC filings. Such information contained
herein represents management's best judgment as of the date hereof
based on information currently available. FMC Corporation
does not intend to update this information and disclaims any legal
obligation to the contrary. Historical information is not
necessarily indicative of future performance.
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SOURCE FMC Corporation