- Potash Corp. (POT) reportedly plans to analyze K+S’s (OTCQX:KPLUY) response and reasoning behind the rejection of the Canadian company's takeover offer before deciding on its next move, as it still sees strong logic as well as an opportunity to reach an agreement.
- K+S CEO Norbert Steiner sees the logic behind POT's bid as removing higher-cost production from an oversupplied market; indeed, POT has long preached the virtue of price stability and has questioned plans by rival producers to build new mines.
- By proposing a takeover, POT might be looking for a way to slow construction of K+S’s new Legacy mine, and a deal would hand it another aging and costly potash mine in Germany, Citi analyst P.J. Juvekar says.