ADAMA completes the acquisition of a majority stake in the plant protection products manufacturing facilities of Huifeng
By concluding the second and final phase of their previously announced transaction, ADAMA has completed the acquisition of a 51% stake in Huifeng’s main plant protection synthesis and formulation facilities.
â¢ Phase I: As previously announced, in December 2020, ADAMA acquired a 51% stake in Shanghai Dibai Plant Protection Co Ltd (“Dibai”, soon to be renamed ADAMA Huifeng (Shanghai) Agricultural Technology Co., Ltd.), a subsidiary of 100% of Huifeng focused on the sale and distribution of key formulated crop protection products in China.
â¢ Phase II: In the transaction which is now complete, ADAMA acquired a 51% stake in a newly established 100% subsidiary of Huifeng, ADAMA Huifeng (Jiangsu) Co., Ltd., established to integrate the main synthesis and formulation facilities of Huifeng. plant protection products from Huifeng. .
â¢ Completion of phase II monitors the satisfaction or waiver of relevant closing conditions, including obtaining regulatory approvals and other required approvals as well as resuming production at Huifeng’s main production facilities.
After the completion of Phases I and II, ADAMA now owns 51% of the shares of Dibai and ADAMA Huifeng (Jiangsu) Co., Ltd., providing ADAMA with a majority stake in one of the leading Chinese manufacturers of plant protection products. , and strengthen ADAMA’s commercial presence in the Chinese crop protection market. Through this transaction, ADAMA accesses upstream integrated and competitive positions in key global molecules, which are expected to generate significant growth thanks to ADAMA’s global reach in the market.
A Liru, Senior Vice President, China for ADAMA, said: âWith the completion of the acquisition of majority stakes in Huifeng’s business and operations activities, we are in a better position than ever to succeed in achieving our growth ambitions in China and globally, significantly strengthening our commercial reach in China and our competitive operational capabilities to support our global operations. We welcome the Huifeng team to the ADAMA family and look forward to further realizing our vision of building a leading crop protection company in China.