Growing Solutions signs agreement with AMP Holdings Group for specialty water soluble fertilizers
TEL AVIV, Israel--(BUSINESS WIRE)--Aug. 27, 2024--
ICL (NYSE: ICL) (TASE: ICL), a leading global specialty minerals company, today announced it has signed a five-year agreement with AMP Holdings Group Co. Ltd., one of China's top agricultural distribution companies. The agreement, valued at approximately $170 million, will run until 2028 and advances ICL’s stated goal to expand its Growing Solutions product offerings and to position the business for further growth in major end-markets.
The agreement is for specialty water soluble fertilizers, which are used in drip irrigation and designed for cash-crops, such as apples, watermelons, vegetables, strawberries, ginger and grapes. It includes a minimum purchase commitment, with certain exclusivity conditions based on brand and region.
The rising demand for specialty fertilizers in China has mirrored the growth of high-value crops there, which is driven by the promising return on investment these crops offer. China has also seen significant shifts in agricultural practices, in recent years, due to extreme weather fluctuations, varied crop types, and a shrinking agricultural workforce. As a result, there has been a substantial increase in the adoption of drip irrigation, which is driving demand for specialty soluble fertilizers and making China the world's largest market for fertigation.
ICL is committed to continuous innovation and to bringing new ideas and products to partners like AMP. This includes offerings such as the company’s recent introduction of a unique phosphate and potassium specialty suspension solution that was designed specifically for drone application, which is a booming agricultural sector in China.
AMP Holdings pioneered the distribution of irrigation-based specialty products in China and has been a leader in this area for more than a decade. They were among the first in China to recognize the value of specialty water soluble fertilizers and to establish a dedicated team of agronomists and sales professionals. AMP Holdings has been a strategic specialty fertilizer partner for ICL for several years and boasts significant distribution capabilities that outpace other companies in the Chinese market.
"Our soluble fertilizer products are recognized as market leaders in China – a key region for us – and this agreement with AMP Holdings will further strengthen ICL’s position in the premium part of China's specialty fertilizer market,” said Elad Aharonson, president of ICL Growing Solutions. “We are gratified that AMP continues to select ICL as a partner, and we value our relationship with them and appreciate the endorsement of our expertise in specialty soluble fertilizers from one of the leading agricultural distribution companies in China."
“We are pleased to expand our relationship with ICL Group and to partner together to bring innovative specialty solutions to the Chinese market,” said Ye Hong, general manager of AMP Holdings. “Together, we are helping farmers maximize their investments and their yields, through the use of specialty irrigation-based fertilizers.”
This partnership marks another step forward for ICL, in expanding its footprint in the Chinese market and underscores the company's commitment to delivering innovative agricultural solutions in response to evolving regional market needs.
About ICL
ICL Group
is a leading global specialty minerals company, which creates impactful solutions for humanity's sustainability challenges in the food, agriculture and industrial markets. ICL leverages its unique bromine, potash and phosphate resources, its global professional workforce, and its sustainability focused R&D and technological innovation capabilities, to drive the company's growth across its end markets. ICL shares are dual listed on the New York Stock Exchange and the Tel Aviv Stock Exchange (NYSE and TASE: ICL). The company employs more than 12,000 people worldwide, and its 2023 revenues totaled approximately $7.5 billion.
For more information, visit ICL's website at icl-group.com.
To access ICL's interactive CSR report, visit icl-group-sustainability.com.
You can also learn more about ICL on Facebook, LinkedIn, YouTube, X and Instagram.
About AMP Holdings Group Co., LTD
AMP Holdings Group Co., LTD was established in 2003. Relying on the rapid development of the original imported fertilizer business base of ZJAMP GROUP, the registered capital is 550 million yuan. Based on domestic and foreign markets, the company has set up dozens of subsidiaries or offices in major ports and ports across the country, and the business scope covers more than 20 provinces and regions. The annual sales scale of the company exceeds ~13 billion yuan, and the sales performance ranks among the forefront in the field of agricultural materials circulation.
Forward Looking Statements
This announcement contains statements that constitute forward‑looking statements, many of which can be identified by the use of forward‑looking words such as “anticipate,” “believe,” “could,” “expect,” “should,” “plan,” “intend,” “estimate” and “potential,” among others.
Forward-looking statements appear in this press release and include, but are not limited to, statements regarding the company’s intent, belief or current expectations. Forward-looking statements are based on management’s beliefs and assumptions and on information currently available to management. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors, including, but not limited to: estimates, forecasts and statements as to management's expectations with respect to, among other things, business and financial prospects, financial multiples and accretion estimates, future trends, plans, strategies, positioning, objectives and expectations, general economic, market and business conditions, supply chain and logistics disruptions, energy storage and electric vehicle growth, the potential for new COVID-19 variants, global unrest and conflict, governmental and regulatory requirements and actions by governmental authorities, including changes in government policy, changes in environmental, tax and other laws or regulations and the interpretation thereof, and war or acts of terror and/or political, economic and military instability in Israel and its region, including the current state of war declared in Israel and any resulting disruptions to our supply and production chains. As a result of the foregoing, readers should not place undue reliance on the forward‐looking statements contained in this press release concerning the timing of the transaction, or other more specific risks and uncertainties facing ICL, such as those set forth in the “Risk Factors” section of its Annual Report on Form 20-F filed on March 14, 2024, as such risk factors may be updated from time to time in its Current Reports on Form 6-K and other filings ICL makes with the U.S. Securities and Exchange Commission from time to time.
Forward-looking statements refer only to the date they are made, and the company does not undertake any obligation to update them in light of new information or future developments or to publicly release any revisions to these statements in order to reflect later events or circumstances or to reflect the occurrence of unanticipated events.
View source version on businesswire.com:
https://www.businesswire.com/news/home/20240827639659/en/
Investor and Press Contact – Global
Peggy Reilly Tharp
VP, Global Investor Relations
+1-314-983-7665
Peggy.ReillyTharp@icl-group.com
Investor and Press Contact - Israel
Adi Bajayo
ICL Spokesperson
+972-3-6844459
Adi.Bajayo@icl-group.com
Source: ICL Group LTD
