Azoty Group almost here – an agreement signed

Together with Azoty Tarnów we have made another move towards becoming a uniform group of chemical companies. We have signed an agreement which defines the rules of cooperation and conducting negotiations regarding the Consolidation Agreement based on which a leading regional chemical company and a major player on the European fertilizers’ market will be formed.

In the agreement we agreed on the name for the newly formed entity, which shall be called Azoty Group.

STRATEGIC GOALS OF THE AGREEMENT

The agreement concerns corporate governance and the continuation of the investment projects which are already under way. In due time we shall also agree on the scope of joint and common strategy and synergy. Owing to the legal regulations against unfair competition on the market, the exchange of various kinds of information between our company and Azoty Tarnów will only be possible after the time when merger is approved by the anti-monopoly regulatory body (UOKiK). Only when the approval is given will we be able to finalize the merger.

The strategic goals of the consolidation are: listing the stock of the newly formed entity on WIG20 market index, providing the highest return on investment for the shareholders of the companies of the group, and maintaining a lasting position among the leaders on the fertilizers’ market in Europe as well as remaining a noticeable player on the global market.

SYNERGY FIRST AND FOREMOST

Other vital objectives we have set in the newly signed agreement are: making maximum use of the synergy created following the merger, building value for our customers and increasing the stock value for our shareholders.

In the agreement we have stressed the fact that our cooperation shall be based on the principles of equality, partnership, experience, knowledge, technological development and the market position of each party with reference to particular business sectors.

NOVELTIES AND CONTINUATION

Building a strong chemical/fertilizers group with a stable shareholders’ structure will allow for an uninterrupted continuation of investment and integration-oriented processes in the business sector where we are active and enable making the best use of the effects of synergy resulting from the merger.

In connection with the consolidation, we are also interested in increasing the scope of our activity.