This week we saw two sizable takeover offers in the natural resources and materials sectors. With share prices pummeled, you had to expect opportunistic suitors to swoop in sooner or later.
Last Friday, a nitrogen bomb hit Wall Street: CF Industries
The letter delivered to CF was short and to the point -- in effect: "thanks, but no thanks." Given Terra's net cash position, they're hardly a motivated seller, so CF is going to have to cough up quite a bit more cash if they want to convince this competitor to come aboard.
Meanwhile, up in Canada's Athabasca basin, Total SA
That suspicion wasn't too far off the mark -- Total has instead made a bid for UTS Energy. Remember when Petro-Canada's
I think Total has a better shot at its prey than does CF Industries. The other Fort Hills partners -- particularly Teck Cominco