Agrium Makes Proposal to Acquire AWB
August 15, 2010- ALL AMOUNTS ARE STATED IN AUD (A$)
CALGARY, Alberta — Agrium Inc. (TSX and NYSE: AGU) (Agrium) announced today it has submitted a fully
financed proposal to acquire AWB Limited (“AWB”) at a price of A$1.50 per AWB share (“the Proposal”).
The Proposal represents a 57 percent premium to the trading price of A$0.955 on July 29, 2010 (Australia
time), which was just prior to the Graincorp merger announcement. Agrium’s Proposal was sent to the AWB
Board on August 14, 2010 (Australia time) and represents attractive value and cash certainty for AWB’s
Agrium is in discussions with AWB with the intention of agreeing to a proposal that the AWB Board would
recommend to its shareholders.
“The proposed transaction with AWB would continue Agrium’s strategy of growing its retail business. Agrium
sees significant potential to enhance the product and service offerings to the Australian and New Zealand grower,
particularly through AWB’s retail Landmark Rural Services division, by utilizing Agrium’s international fertilizer
and crop protection sourcing capabilities, while supporting further growth within each division of AWB,” said
Agrium President and CEO Mike Wilson.
The proposal is currently envisaged to be executed via a Scheme of Arrangement and is subject to conditions
precedent typically included in transactions of this type, including the unanimous support of the AWB Board.
Agrium has engaged Barclays Capital as financial advisor and Clayton Utz as legal advisor in connection with the
AWB currently has 817,304,356 shares and 7,878,926 performance rights issued which the Proposal is based
upon, resulting in a purchase price of A$1.238-billion.
AWB is a company listed on the Australian Securities Exchange (ASX) which is available at the ASX website
Agrium Inc. is a major retail supplier of agricultural products and services in both North and South America and a
leading global producer a