Borealis has rejected the binding offer made by Eurochem on 2 February to purchase Borealis’ nitrogen business, including all fertiliser, melamine and technical nitrogen products.
In a statement announcing the decision, Thomas Gangl, CEO of Borealis CEO said: “We have closely assessed the most recent developments around the war in the Ukraine and sanctions that have been put in place. As a consequence, we have decided to decline EuroChem’s offer for the acquisition of Borealis’ nitrogen business.”
Borealis operates fertiliser production plants in Austria and France. With more than 50 distribution points across Europe the company is one of Europe’s leading fertiliser producers. Borealis is also a market leader in melamine, with its operations in Austria and Germany mainly supplying the woodworking industry. In 2020, the business posted sales of 3.9 million metric tonnes, with revenues of EUR 908 million.
Borealis had long planned to divest itself of this part of its operations. Having now declined the offer from Eurochem, the company will consider various options regarding the future of its nitrogen business.