OSLO, Norway (Reuters) — Norwegian fertilizer maker Yara expects synergies worth $50 million a year from a Brazilian acquisition, around twice as much as it predicted earlier, the firm said last week.
“When we first announced the deal, we went with a more conservative estimate of the synergies, but raised the figure after having more time to study the deal,” a company spokesman said.
Yara agreed to buy the Brazilian fertilizer business of commodities giant Bunge last December in a deal valued at $750 million. It predicted minimum annual synergies of $25 million.
Yara will consolidate the new business from Aug. 1, it said last week.