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Russian Potash Producers Confirm Merger

11:39 AM MST | December 20, 2010 | Ian Young

The boards of Uralkali (Berezniki, Russia) and Silvinit (Solikamsk, Russia) have agreed on the terms of the companies' long-expected merger. Silvinit is Russia's biggest producer of potash and Uralkali is the country's second-biggest producer. The deal will create the world's second-biggest producer of potash after PotashCorp with estimated sales of $2.8 billion/year, analysts say. Russia has the third-biggest potash output after Canada and Belarus. The deal will take the form of a cash-and-shares acquisition by Uralkali of Silvinit. Uralkali will buy a 20% stake...

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