Agrium/Potash
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Thread: Agrium/Potash

  1. #1
    Junior Member
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    Agrium/Potash

    I am looking to take a position in this sector. Any thoughts or advise on which to buy pre-merger. Have the arbitragers taken out any advantage of one over the other?

    Thanks for any thoughts or ideas.


  2. #2
    Senior Member
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    I have been thinking of buying in too. But I am not sure that deal will actually go through due to anti-trust laws in USA. If the deal fails, then which would be better to own? I wish I knew. his a link from CBC last September.

  3. #3
    Senior Member
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    I have been adding a little to my AGU holdings and that rather than POT because the dividend on AGU is still a little higher I think.

    I believe I will want to keep holding the new merged entity once it emerges, but I am concerned that the dividend yield will take a hit.

    I can't see any recent news on the merger. Do we know when it is likely to close? "Mid 2017" is coming fairly soon and that is the most precise info I can find.
    Any clue if there are liable to be tax consequences (capital gains event) for holders of one or the other?

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  5. #4
    Senior Member My Own Advisor's Avatar
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    I hear ya...all I know about is here...
    https://www.realagriculture.com/2017...lose-mid-2017/
    Hidden Content - Working on a $1 million portfolio and $30k per year from it.

  6. #5
    Senior Member
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    My tilt is to buy AG because the valuation is better. This merger looks like a winner, but it won't be a rocket ship - dividends, modest to slow growth. Eventually, which could be a long time, potash price will inch up.
    I'm in awe POT stock price has held up considering its huge p/e and very high dividend payout ratio. I expected it to drop below 20 a long time ago.
    We can not know things as they are in themselves, but only as they appear to us.

  7. #6
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    will be known by the much shorter name of Nutrien Inc.
    http://business.financialpost.com/pm...1-af9c0d8f8927


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