FRANKFURT/BERLIN (Reuters) — Potash Corp is prepared to launch a hostile takeover offer for German potash mining rival K+S under certain conditions, the German newspaper Handelsblatt reported Sept. 8.
Handelsblatt cited financial sources as saying Potash Corp had talked to brokerages in Canada about such plans.
Potash Corp declined to comment.
K+S shares jumped as much as 10.3 percent on the report and closed 7.3 percent higher at $53.32, the biggest intra-day rise since a 40 percent surge in late June following Potash Corp’s initial takeover bid.
K+S had previously rejected a takeover proposal worth $60.54 per share.
New top-level talks were held in Wiesbaden, regional capital of Hesse where K+S is headquartered, Handelsblatt said. Far-reaching guarantees on jobs and facilities were discussed, the newspaper added, citing a spokesperson for Potash Corp.
K+S had previously dismissed as unreliable assurances by Potash Corp about maintaining jobs and mine sites in Germany.
