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Business

CF Drops Its Bid For Rival Terra

by Melody Voith
January 25, 2010 | A version of this story appeared in Volume 88, Issue 4

Fertilizer maker CF Industries has dropped its bid to buy rival Terra Industries after a yearlong pursuit. CF raised its offer for the last time in December 2009 to more than $2 billion, but the company now says strong prospects for nitrogen and phosphate fertilizers have buoyed Terra’s share price, making an acquisition too expensive. Meanwhile, CF continues to fend off an acquisition by Agrium. Analysts say a CF-Terra merger would likely have prevented an Agrium deal.

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