Mosaic Sells Interest in MWSPC to Ma’aden
“Having formed our partnership with Mosaic in 2013, more than a decade on, this is an important evolution that we believe will create significant benefits for the growth of our phosphate business,” said Bob Wilt, CEO of Ma’aden. “We look forward to working together with the Mosaic team to strengthen our phosphate business as we continue to build the mining sector into the third pillar of the Saudi economy.”
The acquisition of Mosaic’s stake in MWSPC, an asset that is currently producing more than 3 million tons of phosphate fertilizers per year and has been a focal point for the global phosphates industry since 2018, is expected to provide greater integration across Ma’aden’s phosphate operations. It will streamline its operating model, shareholdings, logistics and marketing. As a result of the transaction, Ma’aden will acquire the marketing rights of Mosaic within the MWSPC joint venture, increasing its volume of Ma’aden marketed phosphates by more than 750,000 tons annually (roughly 20% of additional volumes). The transaction delivers on Ma’aden’s growth agenda while preserving its balance sheet.
“We have enjoyed a long and successful partnership with Ma’aden, and we look forward to continuing our work together under this evolved structure,” said Bruce Bodine, President and CEO of Mosaic. “This transaction provides Mosaic with a transparent value for its investment in Ma’aden, greater capital flexibility in the future, and the ability to contribute expertise to Ma’aden’s phosphate operations.”
The transaction is subject to regulatory approvals, and then approval by the shareholders of Ma’aden, in addition to the completion of other closing conditions that are customary for this type of transaction. The transaction is expected to be completed during Q3 2024.