Nutrien to acquire Agrible
On July 16, Nutrien (NTR) announced that it has entered into an agreement to acquire Agrible for a value of $63 million. With the acquisition, Nutrien will add to its Nutrien Ag Solutions capabilities to further advance the company’s reach in the retail market.
So far this week, Nutrien stock has risen 1% from its closing price on July 13 to its closing on July 17. However, YTD (year-to-date), the stock has fallen 3.7%. Mosaic (MOS) has returned 6.8%, and Israel Chemicals (ICL) has returned 18.2% YTD. Nutrien has also underperformed the benchmarks, including the VanEck Vector Agribusiness ETF (MOO) and the S&P 500 Index, as you can see in the above chart. MOO returned 1.4%, and SPY returned 2.4% YTD as of July 17.
What’s Agrible all about?
In a press release, Nutrien stated that Agrible’s product offering includes “a broad set of agronomic and on-farm advisory tools, data science capabilities, predictive analytics and a global sustainability business that connects growers with leading agricultural, food and consumer products companies to measure, benchmark and empower sustainable crop production.”
These services fall under three broad categories—growers, retailers, and sustainability services. In the next part of this series, we’ll look at Grower Service and what it offers customers.