EuroChem announces Lifosa Squeeze out

[ 09.06.10 17:11 ]

Today EuroChem announced its intent to increase its stake in phosphate fertilizer producer AB Lifosa from 95.88% to 100% through a squeeze out procedure for the price approved by the Securities Commission of the Republic of Lithuania.

In accordance with its corporate strategy, EuroChem seeks 100% ownership of all of its subsidiaries. Lifosa is the only remaining EuroChem subsidiary that is not 100% owned.

EuroChem on May 27, 2010 received approval from the Securities Commission of the Republic of Lithuania to conduct the squeeze-out at the price of LTL 47.00, which values the enterprise at LTL 988m (US$ 351m). This price represents a 27% premium to the average price for Lifosa shares for the previous six months on the NASDAQ OMX Vilnius stock exchange Baltic Secondary List. In accordance with Lithuanian law, shareholders of the remaining 4.12% of AB Lifosa shares have 90 days to sell their shares to EuroChem after Lifosa publishes an official announcement in the newspaper Lietuvos Rytas.  Details of the squeeze out procedure are provided in the official announcement by Lifosa, in individual mailings to Lifosa shareholders and are also available on the Lifosa website (http://www.lifosa.com/).

MCC EuroChem, OJSC, together with its subsidiary EuroChem AM Limited, currently own a total of 95.88% of AB Lifosa shares.  

For more information contact:

Investors
Sam VanDerlip
Head of Investor Relations
Phone: +7 495 795 25 27 ext. 1519
Fax: +7 495 960 22 93
E-mail: Samuel.VanDerlip@eurochem.ru

Media
Vladimir Torin
Head of Public Relations
Phone: +7 495 795 25 27 ext. 1440
Fax: +7 495 960 22 93
E-mail: Vladimir.Torin@eurochem.ru