Business
PRESSR: Fertiglobe completes acquisition of Wengfu Australia’s distribution assets
PRESSR: Fertiglobe completes acquisition of Wengfu Australia’s distribution assets
About this update from Fertiglobe Plc
Fertiglobe completed the acquisition of the distribution assets of Wengfu Australia Pty Ltd. (Wengfu) through an asset sale and purchase agreement, expanding its downstream reach and enhancing access to supply Australian customers. Fertiglobe Australia Pty Ltd. (Fertiglobe Australia), a fully owned subsidiary of Fertiglobe, has been established as the legal entity that will operate the acquired distribution assets.Transaction marks a significant step toward Fertiglobe’s ‘customer proximity’ pillar, outlined in its recently announced ‘Grow 2030 Strategy’ and is expected to generate incremental annual EBITDA of US$23 million[1] by 2030.Purchase of Wengfu Australia’s distribution assets was financed through pre-arranged short-term financing facilities, which are expected to be reimbursed within less than 4 months.The acquisition will have no impact on Fertiglobe’s dividend distribution capability and minimal impact on net debt/ LTM adjusted EBITDA (1.2x as of June 2025).Prior to the acquisition, Fertiglobe had supplied ~600kt of urea annually to Australia, with Wengfu being Fertiglobe’s largest customer in the country and one of its largest and key customer locations, with potential to significantly grow supply volumes through Fertiglobe Australia’s platform to meet growing demand. Acquisition accelerates Fertiglobe’s expansion into the Asia-Pacific region, supports its strategy to reinforce its position in key regions, build resilience across cycles, and provides opportunities to unlock distribution and supply chain synergies. Abu Dhabi, UAE – Fertiglobe (the “Company”) ADX:FERTIGLB, the world’s largest seaborne exporter of urea and net ammonia combined, the largest nitrogen fertilizer producer in the Middle East and North Africa region, and the exclusive ammonia platform of ADNOC and XRG, today announced that it has completed the acquisition of the distribution assets of Wengfu Australia Pty Ltd. (Wengfu), a leading fertilizer distribution business. This acquisition reinforces Fertiglobe’s commitment to customer proximity in key markets, in line with its ‘Grow 2030 Strategy’.The acquired assets are strategically located across five ports with eight warehouses, distributing 700-800kt of fertilizers annually to over 200 customers, with capacity to scale up to 1.1 million tons per annum. Fertiglobe Australia Pty Ltd. (Fertiglobe Australia), a fully owned subs...