Plymouth-based fertilizer giant Mosaic will delay any stock repurchases from Cargill family affiliates until Nov. 26 after an objection from Cargill Inc., Mosaic said Tuesday.
Mosaic executives have been discussing the disposition of 129 million restricted shares in Mosaic held primarily by foundations connected to the late Margaret Cargill, as well as by some Cargill family members.
The discussions, which include a potential share repurchase by Mosaic, commenced after May 25, the two-year anniversary of the split off of publicly held Mosaic from privately held Cargill. That transaction led to Margaret Cargill's trusts becoming a major shareholder in Mosaic.
Mosaic, with the support of Margaret Cargill's trusts, requested that Cargill amend the split-off agreement to allow for a negotiated repurchase of shares before Nov. 26. Cargill declined, leaving Mosaic "disappointed," but looking forward to initiating share repurchases after that date, the company said in a news release.
Minnetonka-based Cargill couldn't be reached for comment.
The announcement was made after the market closed. In after-hours trading, Mosaic's stock was at $55.74, down 17 cents.
MIKE HUGHLETT
