Israel Chemicals Offers $109m For Allana Potash

Mineweb reported that Potash producer Israel Chemicals had made a C$137 million ($109.50 million) offer to buy Canada’s Allana Potash.

As quoted in the market news,

Israel Chemicals (ICL) already owns 16.36 percent of shares in Allana, whose Danakhil project in northeast Ethiopia could yield up to 1 million tonnes of muriate of potash per year for 25 years. It will pay 50 Canadian cents per share for the remaining shares.

The offer is a 51.5 percent premium to Allana’s closing price on Thursday, prior to the offer being announced.

ICL stated:

Acquiring ownership of Allana will enable ICL to control the development of the Danakhil project, accelerate pre-construction engineering design work, as well as secure project financing.

Click here for the full Mineweb report