BASF SE is nearly finished selling its nitrogen fertilizer assets business to Yara International ASA, according to sources quoted by Bloomberg.
Two people with knowledge of the situation have said talks have advanced and an agreement may be reached by the end of September.
The sale would include a nitrogen site in Antwerp, Belgium and a share of a venture in France, according to Bloomberg’s sources.
Although a BASF spokesperson would not comment on the negotiations, a Yara spokesperson confirmed it had submitted a bid.
The negotiations signal growing consolidation in the fertilizer industry as rising food prices are spurring the need for more crops across the globe, which is in turn increasing the demand for nitrogen, phosphors and potassium.