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EuroChem acquires Emerger Fertilizantes

Published by , Assistant Editor
World Fertilizer,

EuroChem Group AG (EuroChem) has announced the acquisition of Emerger Fertilizantes S.A. (Emerger), a privately-owned distributor of premium and standard fertilizers in Argentina. The price and other terms of the deal have not been disclosed.

EuroChem is expanding its distribution network to enhance its access to several important markets, with recent acquisitions in Brazil, Bulgaria, Hungary and Spain. This acquisition will further strengthen EuroChem’s footprint in Latin America, which is an important region that currently accounts for 11% of the Group’s fertilizer sales.

Emerger has annual fertilizer sales of 50 000 t, with about 60% of its sales being premium fertilizers. The company owns a warehouse with storage capacity of 12 000 t, located approximately 8 km from the port of San Nicolas de los Arroyos, northern Argentina. The company also rents 3 separate retail centres.

According to the Argentinian fertilizer industry organisation, Fertilizar Asociación Civil, the market for fertilizers in Argentina is expected to increase in size from 3.4 million t in 2016 to 5.5 million t in 2020.

Dmitry Strezhnev, EuroChem CEO, commented: “The acquisition of Emerger, a well-positioned distributor in the Argentinian fertilizer market, is another step to bolster our capabilities in Latin America which is one of the fastest growing fertilizer markets in the world. This reflects our intention to expand sales of premium products in Latin America and we are looking forward to developing the business in Argentina and in neighboring countries.”

Enrique Arambarri, former co-owner and CEO, said: “Under EuroChem ownership we will be able to offer a wider range of value-added fertilizers to our customers in Argentina as well as Bolivia, Paraguay and Uruguay.”

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