EuroChem acquires US fertilizer distributor
Zug, Switzerland/Tulsa, United States, 28 October 2015 – EuroChem Group AG (hereinafter “EuroChem” or the “Group”), a leading global agrochemical company, announces that its subsidiary EuroChem Trading USA has completed the acquisition of Ben-Trei Fertilizer Company, a US-based fertilizer distributor, on 22 October 2015. This transaction will allow EuroChem to benefit from Ben-Trei’s established relationships with local customers as the Group seeks to expand its presence in the US.
Founded in 1987 and based in Tulsa, Oklahoma, Ben-Trei has built a strong presence in the country’s key agricultural regions, from Texas and the Louisiana delta in the South, across the Corn Belt in the Midwest and West to California. The company distributes a variety of dry fertilizer and feed products, primarily via truck and rail transport. In fiscal year 2015 Ben-Trei supplied over 1 million short tonnes of product to more than 530 customers.
Charlie Bendaña, President of Ben-Trei Fertilizer, cites that this business venture will allow for a, “synergy of international production with Ben-Trei’s service oriented US domestic distribution.”
Dmitry Strezhnev, EuroChem CEO, commented: “With its strategically located assets and vast customer network, the acquisition of Ben-Trei also brings valuable market intelligence and a strong team to bolster our growing US presence. We believe that this acquisition will enable us to better service this key agricultural market, while customers will gain from improved access to EuroChem’s full range of products”.
EuroChem has been operating in the US through its Tampa-based subsidiary EuroChem Trading USA since 2006 and has recently announced plans to build a natural gas-based fertilizer plant in Louisiana. Sales to the US market accounted for 8% of total Group sales in 2014.
About EuroChem Group AG
EuroChem is a leading global agrochemical company, producing primarily nitrogen and phosphate fertilizers, as well as certain organic synthesis products and iron ore. The Group is vertically integrated with activities spanning from mining and hydrocarbons extraction to fertilizer production, logistics, and distribution. EuroChem is currently developing two sizeable potash deposits in Russia with its VolgaKaliy and Usolskiy Potash projects. Headquartered in Zug, Switzerland, the Group operates production facilities in Belgium, Lithuania, China, Kazakhstan and Russia and employs more than 23,000 people globally.
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