Image: Fertiglobe
Fertiglobe has completed the acquisition of the distribution assets of Wengfu Australia, expanding its presence in the Asia-Pacific and reinforcing its focus on customer proximity as part of its “Grow 2030 Strategy”.
The acquired network spans five ports and eight warehouses, distributing 700,000 to 800,000 tonnes of fertilisers annually to more than 200 customers, with capacity to scale up to 1.1 million tonnes per year. A new subsidiary, Fertiglobe Australia, will operate the assets under the Fertiglobe brand.
The transaction, financed through short-term facilities expected to be repaid within four months, is projected to add around $23m in incremental annual EBITDA by 2030.
Fertiglobe said the acquisition will have no impact on its dividend distribution capacity and only a minimal effect on net debt to adjusted EBITDA, which stood at 1.2 times as of June 2025.
Prior to the deal, Fertiglobe supplied about 600,000 tonnes of urea annually to Australia, with Wengfu as its largest customer in the country.
Fertiglobe says acquisition provides an opportunity to grow volumes
The company said the acquisition provides an opportunity to grow volumes, diversify its footprint and strengthen its supply chain.
“We are pleased to complete the acquisition of Wengfu Australia’s distribution assets, a key step in advancing Fertiglobe’s ‘Grow 2030 Strategy’ and supporting our pillar of enhancing customer proximity,” CEO Ahmed El-Hoshy said.
“Fertiglobe Australia’s platform across the Asia-Pacific region creates new opportunities, expands our customer base, and strengthens our supply chain efficiency.”
Paul Osborne, recently appointed CEO of Fertiglobe Australia, said the deal would “unlock new opportunities for our business and benefit our customers through access to a strong global ecosystem.”
The acquisition follows regulatory and legal approvals.
Fertiglobe, headquartered in Abu Dhabi and backed by ADNOC and XRG, is the world’s largest seaborne exporter of urea and ammonia combined, with annual production capacity of 6.6 million tonnes of urea and merchant ammonia across plants in the UAE, Egypt and Algeria.
Wengfu Australia, established in 2009, was part of Guizhou Phosphate & Chemical Group, the world’s third-largest phosphate fertiliser and chemical producer.
