Nutrien Ltd. has successfully sold its 50% equity stake in Profertil S.A., a nitrogen producer in Argentina, to Adecoagro and Asociacion de Cooperativas Argentinas for approximately US$600 million.

Target Company Overview

Nutrien Ltd., a global leader in crop inputs and services, has successfully completed the sale of its 50 percent equity interest in Profertil S.A., a nitrogen producer in Argentina. This sale was executed through a joint acquisition by Adecoagro S.A. and Asociacion de Cooperativas Argentinas Coop Ltda, resulting in total pre-tax proceeds of approximately US$600 million. According to Nutrien's President and CEO, Ken Seitz, this divestiture reflects the company's ongoing efforts to streamline its portfolio, enhance the quality of its earnings, and improve cash conversion.

Nutrien has strategically decided to direct the funds obtained from this transaction towards initiatives that support long-term free cash flow growth per share. These initiatives include growth investments, share buybacks, and debt reduction. Since the fourth quarter of 2024, Nutrien has raised approximately US$900 million through various asset divestitures, showcasing a robust approach to capital management.

Industry Overview in Argentina

The agricultural sector in Argentina is pivotal to the country’s economy, significantly contributing to its GDP and export earnings. The nation is recognized for its vast arable land and favorable climate conditions, making