TEL AVIV, Israel--(BUSINESS WIRE)--ICL (NYSE: ICL) (TASE: ICL), a leading global specialty minerals company, today announced it has acquired Nitro 1000, a manufacturer, developer and provider of biologicals in Brazil for approximately $30 million. This acquisition marks another meaningful step into the biologicals market, while expanding ICL’s product offerings and positioning the company for further expansions into new and adjacent end-markets.
Nitro 1000 will immediately join the ICL product portfolio, and the company will begin selling to its existing customer base in Brazil. Nitro 1000’s products are mainly aimed at soybean, corn and sugar cane crops, and their application replaces or optimizes the use of fertilizers. This not only helps farmers increase profitability, it also offers a more sustainable solution.
“We’re excited to merge Nitro 1000’s core expertise in biologicals manufacturing with ICL’s extensive R&D capabilities and innovation engine and to further execute against our stated strategy of continuing to invest in agriculture – specifically in Brazil,” said Elad Aharonson, president of ICL Growing Solutions. “This acquisition allows us to leverage our global Growing Solutions business to develop new products and technology, while benefitting from our existing production capacity and go-to-market strategy. It will also enable us to continue to increase market share and leadership in Brazil specialty plant nutrition.”
Increasing interest in alternatives to agrochemicals has created higher demand for biologicals solutions, and the ag biologicals market is expected to grow at a 13.8% CAGR and reach $27.9 billion by 2028, according to MarketsandMarkets. Biologicals stimulate natural processes to enhance or benefit nutrient uptake, nutrient use efficiency, abiotic stress tolerance, and crop quality and yield.
In Brazil, ICL currently has more than 1,700 employees, and the country represented approximately 20% of sales in 2023. The agricultural business portfolio in Brazil includes enhanced efficiency and gradual release fertilizers, micronutrients, secondary macronutrients, foliar fertilizers, physiological action products, seed treatments, soil conditioners, adjuvants, and products for animal nutrition and industrial applications. The company expects the integration of Nitro 1000 to benefit significantly from its two recent successful acquisitions in Brazil, including the South American Plant Nutrition business of Compass Minerals and Fertiláqua, both in 2021.
“We founded Nitro 1000 in 2007 and made the necessary investments to develop our products and reach this point on our journey,” said Iris Guindani, one of the founders of Nitro 1000, who will remain as head of operations. “This next phase will allow us to leverage ICL's resources, including its robust R&D capabilities, to develop additional new products and target adjacent end-markets.”
About ICL
ICL Group is a leading global specialty minerals company, which creates impactful solutions for humanity's sustainability challenges in the food, agriculture and industrial markets. ICL leverages its unique bromine, potash and phosphate resources, its global professional workforce, and its sustainability focused R&D and technological innovation capabilities, to drive the company's growth across its end markets. ICL shares are dual listed on the New York Stock Exchange and the Tel Aviv Stock Exchange (NYSE and TASE: ICL). The company employs more than 12,500 people worldwide, and its 2023 revenues totaled approximately $7.5 billion.
For more information, visit ICL's website at icl-group.com.
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Forward Looking Statements
This announcement contains statements that constitute forward‑looking statements, many of which can be identified by the use of forward‑looking words such as “anticipate,” “believe,” “could,” “expect,” “should,” “plan,” “intend,” “estimate” and “potential,” among others.
Forward-looking statements appear in this press release and include, but are not limited to, statements regarding the company’s intent, belief or current expectations. Forward-looking statements are based on management’s beliefs and assumptions and on information currently available to management. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors, including, but not limited to: estimates, forecasts and statements as to management's expectations with respect to, among other things, business and financial prospects, financial multiples and accretion estimates, future trends, plans, strategies, positioning, objectives and expectations, general economic, market and business conditions, supply chain and logistics disruptions, energy storage and electric vehicle growth, the potential for new COVID-19 variants, global unrest and conflict, governmental and regulatory requirements and actions by governmental authorities, including changes in government policy, changes in environmental, tax and other laws or regulations and the interpretation thereof, and war or acts of terror and/or political, economic and military instability in Israel and its region, including the current state of war declared in Israel and any resulting disruptions to our supply and production chains. As a result of the foregoing, readers should not place undue reliance on the forward‐looking statements contained in this press release concerning the timing of the transaction, or other more specific risks and uncertainties facing ICL, such as those set forth in the “Risk Factors” section of its Annual Report on Form 20-F filed on February 23, 2022, as such risk factors may be updated from time to time in its Current Reports on Form 6-K and other filings ICL makes with the U.S. Securities and Exchange Commission from time to time.
Forward-looking statements refer only to the date they are made, and the company does not undertake any obligation to update them in light of new information or future developments or to publicly release any revisions to these statements in order to reflect later events or circumstances or to reflect the occurrence of unanticipated events.
