Source: Mosaic news release
TAMPA, FL — The Mosaic Company (NYSE:MOS) announced today the completion of the previously announced transaction with VL Mineraรงรฃo Ltda. (“VL Mineraรงรฃo”) for the sale of Mosaic Potรกssio Mineraรงรฃo Ltda., the entity that operates the Taquari-Vassouras potash mine located in Rosรกrio do Catete, Sergipe, Brazil. VL Mineraรงรฃo will take over the mining and processing of potash, as well as maintenance and other obligations. In exchange, Mosaic will receive $27 million (USD) in cash, with $12 million paid at closing, $10 million one year after closing, and up to $5 million over six years as contingent payments. VL Mineraรงรฃo will assume responsibility for approximately $22 million in asset retirement obligations (ARO).
“We are pleased to announce the completion of the sale of the Taquari-Vassouras mining complex,” said Mosaic President and CEO Bruce Bodine. “This transaction advances our strategy of elevating our core business and redeploying capital to opportunities where we have a competitive advantage. We are grateful to the employees who have committed themselves to safely operating and maintaining this facility over the years.”
“We are pleased with the completion of this deal. We are confident that the mine has exceptional production potential, which will be enhanced by our expertise and strategic investments. This will allow us to grow sustainably and strengthen our position as a producer and distributor of Potassium Chloride in Brazil.” said Daniel Moreira, CEO of VL Holding.
About The Mosaic Company
The Mosaic Company is one of the world’s leading producers and marketers of concentrated phosphate and potash crop nutrients. Through its Mosaic Biosciences platform, the company is also advancing the next generation biological solutions to help farmers improve nutrient use efficiency and crop performance sustainably. Mosaic provides a single-source supply of phosphate, potash, and biological products for the global agriculture industry. More information on the company is available at www.mosaicco.com.
About VL Mineraรงรฃo and VL Holding
VL Mineraรงรฃo Ltda is a subsidiary of VL Holding, a Brazilian agribusiness group that has 20 years of experience in agriculture and animal genetics. Its shareholders are part of a family with over 70 years of experience in the agricultural sector, with diversified investments that include mining, food, banking, and energy, among other businesses.
