FAS To Consider Possible Merger Between Russia's Two Largest Potash Producers

The FAS announced on Thursday that it would consider a possible merger between Russia’s two largest potash producers, Uralkali and Silvinit.  Although neither company has yet filed necessary merger paperwork with the FAS, the companies have publicly discussed a possible merger or alternative joint business operation.  The FAS noted that as any merger would create a national monopoly, it would not likely be approved without restrictions.  One alternative discussed has been foreign acquisition of between a 10% and 15% stake in Uralkali, a move that would require approval of the government commission on foreign investment chaired by Prime Minister Putin.

http://www.bloomberg.com/news/2010-08-26/russia-may-allow-its-two-largest-potash-producers-to-merge-watchdog-says.html