Tuesday, December 11, 2007

Agrium to raise $1.25-billion in share issue (AGU; UAPH)

From the Globe and Mail:

Major fertilizer and seed producer Agrium Inc. will raise $1.25-billion (U.S.) in an equity financing to support the company's $2.65-billion takeover of UAP Holding Corp.

Calgary-based Agrium said Monday it will issue shares through a syndicate of underwriters, led by RBC Capital Markets, including an option for the underwriters to buy up to 10 per cent more to cover overallotments.

Agrium's $39 per share cash offering for UAP is a premium of 30 per cent over its last closing price before the deal was announced....MORE