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05-20-2010: Yara International ASA has agreed to sell its retail marketing activity in South Africa at book value.
Yara has agreed to sell it fully owned fertilizer retail activity in South Africa to Farmsecure and its 50% ownership in the South African retail company Sidi Parani to its partner, the GWK coop.
The book value of Yara's retail activity in South Africa is approximately USD 100 million, mainly constituting operating capital.
Retail fertilizer marketing is typically combined with trade of other agriculture input and produce, and is not defined as core business for Yara. Yara's retail activity in South Africa has over the last years not given a satisfactory profit.
Yara will continue to sell fertilizer delivered harbor in South Africa. While Farmsecure will be Yara's exclusive distributor for a selected range of Yara fertilizers, Yara will continue to supply urea and traded third party fertilizers to other selected importers in the region in addition to Farmsecure.
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