Norbert Steiner Confident on K+S' Potash One Takeover
German fertilizer producer K+S is confident it will be successful in its planned takeover of Canada's Potash One, the company's chief executive told a German paper.Asked whether the takeover would be successful, K+S CEO told Frankfurter Allgemeine Sonntagszeitung in an interview published on Sunday: "We think so, as we have made an attractive offer."
K+S in late November said it was planning to buy Potash One for C$434 million ($431.8 million).
"But the takeover is not a done deal yet, our offer to Potash One shareholders runs until Jan. 18, 2011," he said.
Steiner added, however, that about 21 percent of Potash One shares had been tendered so far and that he was confident K+S would succeed in securing at least two thirds of the shares.
K+S's offer came only weeks after Canada blocked a $39 billion hostile bid by BHP Billiton for Potash Corp , the industry's dominant player.
Steiner confirmed the company's 2010 outlook for earnings before interest and tax (EBIT) of €630-670 million, but remained tight-lipped about a potential dividend for the year.
"As a rule of thumb, we pay out 40-50 percent of adjusted net profit," he said. "The decision will be made in March 2011."
K+S is scheduled to release 2010 full-year results on March 10.
