Makhteshim Agan drops acquisition bid of Albaugh

Date:09-03-2010

The Makhteshim Agan Group, off-patent crop protection solutions, announced on Thursday the termination of negotiations with Albaugh Inc. (“Albaugh”), a privately held, leading manufacturer of off-patent crop protection products operating in the Americas.This announcement follows MAIs earlier announcement on June 27, 2010 that it had signed a Letter of Intent (“LOI”) providing for the acquisition of Albaugh by MAI.

The termination of negotiations follows various findings revealed by MAI in the course of the due diligence process, which constituted a material deviation from the data based on which the Company decided to enter the LOI.
 
Erez Vigodman, President and CEO of Makhteshim Agan, said, “We have taken the right decision given the material gaps which emerged during the due diligence process. We will continue to take all the necessary actions to grow MAI profitably over the coming years, while improving our cost structure and taking advantage of opportunities in our markets”.

Related news: Makhteshim to buy U.S. Albaugh for $1 b