Agrium raises bid for CF Industries

NEW YORK (AP) - Agrium Inc. said Thursday it is raising its bid for CF Industries Holdings Inc., in a final attempt to acquire rival fertilizer maker.

The new offer gives CF shareholders $45 in cash plus one Agrium share per CF share. That's a $5 increase in the cash portion of the proposal. The total value of the deal is $92.99 per CF share, or $4.52 billion, based on CF outstanding shares as of Sept. 30. The offer is a 7.6 percent premium over CF's closing price on Wednesday.

Agrium has pursued CF since February, but has faced repeated rejections. In a statement Thursday, Agrium repeated what it has said in previous offers - that this is its "best and final offer." The offer has been extended until midnight, Nov. 18.

Meanwhile, CF's acquisition pursuit of rival Terra Industries Inc. continues to be thwarted. In a statement Thursday, Terra urged its shareholders to reject CF's latest acquisition offer by voting for Terra's own members to the board.

On Wednesday, after Terra rejected CF's most-recent offer, CF said it "is confident" that Terra shareholders will show their support for the bid by voting for three of CF's nominees for Terra's board. Since October, CF has urged Terra shareholders to vote for its nominees. The voting will conclude at Terra's annual meeting Nov. 20.

Earlier this week, CF - which has pursued Terra since January - raised its offer by adding cash to the bid. It said the new bid was worth $40.61 per share, a 5 percent premium on CF's previous all-stock offer.