Yara International has acquired Greenbelt Fertilisers for USD 51 million, enhancing its position in the African fertiliser market.

Target Information

Greenbelt Fertilisers, a prominent player in the fertiliser blending and distribution market, operates across Zambia, Malawi, and Mozambique, with annual sales exceeding 80,000 tonnes. This strategic acquisition by Yara International for USD 51 million marks one of the largest mergers and acquisitions in the African fertiliser sector in recent years. The completion of this deal is anticipated in the first quarter of 2016, subject to the approval of competition authorities.

Industry Overview

The fertiliser industry in Africa is experiencing significant growth due to a rising demand for agricultural productivity and food security. Fertiliser consumption in the region has been increasing steadily as farmers seek to improve crop yields. Moreover, several governments are implementing supportive policies aimed at enhancing agricultural output, prioritizing the agricultural sector as a key driver of economic growth.

In Zambia, Malawi, and Mozambique, the agricultural sector forms a crucial part of the economy, contributing significantly to GDP and employment. The increased penetration of fertilisers is vital for sustaining agricultural performance in these c