Fertilizer maker CF Industries Holdings Inc., which has substantial operations in Louisiana, said on Monday it is in preliminary talks with OCI NV on a potential deal involving some of OCI’s businesses.
CF Industries’ stock dropped $3.92 to $65 a share.
The Deerfield, Illinois-based company also said there are no assurances that the discussions will result in any transaction and that any additional statements will be made if and when appropriate.
Based in the Netherlands, OCI NV produces nitrogen fertilizers, methanol and other natural gas-based chemical products, serving agricultural and industrial customers around the world.
CF concentrates on nitrogen fertilizer manufacturing and distribution. It has seven nitrogen fertilizer manufacturing complexes in the U.S. and Canada and a network of fertilizer distribution terminals and warehouses mostly in the Midwest. The company also owns 50 percent interests in GrowHow UK Ltd., a plant nutrient manufacturer in the United Kingdom, and an ammonia facility in The Republic of Trinidad and Tobago.
CF’s Donaldsonville nitrogen complex, already the largest in North America, is undergoing a $2.1 billion expansion that is expected to be finished in mid-2016.
The Ascension Parish facility employs about 400 CF Industries employees and about 300 contract employees.