CIC Takes 12.5% Stake In Russian Potash Maker Uralkali


Uralkali, a Russian potash maker, says that China’s sovereign wealth fund, China Investment Corp., has taken a 12.5% stake of the company.

The deal could help China, a big consumer of potash, secure supplies of the fertilizer material.

CIC obtained the stake through converting its convertible bonds into Uralkali’s shares. CIC purchased the convertible bonds last November.

CIC acted through its subsidiary Chengdong Investment Corp. in this transaction.

Uralkali is one of the world’s largest potash producers with a share of about 20% of global potash production.

The company has 5 mines and 7 ore-treatment mills in the towns of Berezniki and Solikamsk in Russia.

Uralkali’s shares and global depositary receipts (GDRs) are traded on the Moscow Exchange and London Stock Exchange respectively.

 

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