BASF announced today that it is to sell its phenoxy agrochemicals business to Melbourne -based Nufarm Limited for approximately 42 million Euros.
The sale comprises the six active ingredients 2,4-D, MCPA, Mecoprop-P, Mecoprop, Dichlorprop-P and Dichlorprop, which made sales of about 40 million Euros in 2002.
The transaction includes registrations, trademarks, intellectual property rights, customer lists and inventories. Both companies expect to close the transaction early this year.
‘For BASF, this is another step in focusing our Agricultural Products business on higher growth products,’ said Hans W. Reiners, President of BASF’s Agricultural Products division.
Reiners added: ‘There are products in our portfolio which, like the phenoxy herbicides, make a better strategic fit with a specialised company, such as Nufarm.’
Phenoxy herbicides were introduced to agriculture 50 years ago and represent about 4% of the global herbicide market.