DEERFIELD, IL—July 31, 2015—CF Industries Holdings, Inc. (NYSE: CF) announced today that it has closed the acquisition of the outstanding interests it did not already own in GrowHow UK Limited (GrowHow) for total cash consideration of $580 million. GrowHow owns and operates nitrogen production facilities in Ince and Billingham, U.K.
“We are pleased to welcome 550 new employees from GrowHow to CF Industries and to add the production facilities in Ince and Billingham to our system of nitrogen complexes,”
said Tony Will, president and chief executive officer, CF Industries Holdings, Inc.
“Our U.K. operations are well-positioned in an import dependent region to serve our customers’ needs and to create value for shareholders. We look forward to working with our new colleagues to ensure our products remain the first choice for British farmers.”
This acquisition has increased CF Industries’ annual marketable nitrogen volume by approximately 450,000 short tons of gross ammonia; 600,000 short tons of ammonium nitrate; and 200,000 short tons of NPK compounds. Prior to the close of the transaction, GrowHow’s results were included in CF Industries’ financial statements under Equity in Earnings of Non-Operating Affiliates – Net of Taxes.
About CF Industries Holdings, Inc.
CF Industries Holdings, Inc., headquartered in Deerfield, Illinois, through its subsidiaries is a global leader in the manufacturing and distribution of nitrogen products, serving both agricultural and industrial customers. CF Industries operates world-class nitrogen manufacturing complexes in the central United States, Canada, and the United Kingdom, and distributes plant nutrients through a system of terminals, warehouses, and associated transportation equipment located primarily in the Midwestern United States.
The company also owns 50 percent interests in GrowHow UK Limited, a plant nutrient manufacturer in the United Kingdom and an ammonia facility in The Republic of Trinidad and Tobago. CF Industries routinely posts investor announcements and additional information on the company’s website at www.cfindustries.com and encourages those interested in the company to check there frequently.
Safe Harbor Statement
All statements in this communication, other than those relating to historical facts, are “forward-looking statements.” These forward-looking statements are not guarantees of future performance and are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from such statements. These statements include, but are not limited to, statements about future strategic plans; and statements about future financial and operating results. Important factors that could cause actual results to differ materially from our expectations include, among others: the volatility of natural gas prices in North America and the United Kingdom; the cyclical nature of our business and the agricultural sector; the global commodity nature of our fertilizer products, the impact of global supply and demand on our selling prices, and the intense global competition from other fertilizer producers; conditions in the U.S. and U.K. agricultural industry; difficulties in securing the supply and delivery of raw materials, increases in their costs or delays or interruptions in their delivery; reliance on third party providers of transportation services and equipment; the significant risks and hazards involved in producing and handling our products against which we may not be fully insured; risks associated with cyber security; weather conditions; our ability to complete our production capacity expansion projects on schedule as planned and on budget or at all; an inability to achieve, or delay in achieving, the expected benefits of the GrowHow transaction as contemplated; risks associated with other expansions of our business, including unanticipated adverse consequences and the significant resources that could be required; potential liabilities and expenditures related to environmental and health and safety laws and regulations; our potential inability to obtain or maintain required permits and governmental approvals or to meet financial assurance requirements from governmental authorities; future regulatory restrictions and requirements related to greenhouse gas emissions; the seasonality of the fertilizer business; the impact of changing market conditions on our forward sales programs; risks involving derivatives and the effectiveness of our risk measurement and hedging activities; our reliance on a limited number of key facilities; risks associated with joint ventures; acts of terrorism and regulations to combat terrorism; risks associated with international operations; losses on our investments in securities; deterioration of global market and economic conditions; and our ability to manage our indebtedness. More detailed information about factors that may affect our performance may be found in our filings with the Securities and Exchange Commission, including our most recent periodic reports filed on Form 10-K and Form 10-Q, which are available in the Investor Relations section of the CF Industries website. Forward-looking statements are given only as of the date of this release and we disclaim any obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.