Mosaic announces repayment of $ 1 billion share buyback authorization on $ 450 million debt due November A new $ 2.5 billion line of credit maturing in 2026

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Repayment of $ 450 million due in November debt

New $ 2.5 billion line of credit maturing in 2026

TAMPA, FL / ACCESSWIRE / August 23, 2021 /The Mosaic Company (NYSE: MOS), today announced a number of actions to strengthen and optimize its capital base.

The board of directors approved a new $ 1 billion share buyback authorization, which replaces the previous authorization for which $ 700 million remained of the original $ 1.5 billion. This new expanded authorization reflects Mosaic’s unchanged commitment to a balanced deployment of excess capital which includes the return of capital to shareholders.

In addition to the new share repurchase authorization, last week the company also finalized the previously announced prepayment of $ 450 million of notes maturing in November 2021. This represents the first step towards realizing the the company’s goal of paying off $ 1 billion in debt over time. . The company plans to meet the goal of paying down debt and completing share buybacks using strong cash flow generated in 2021 and beyond.

Finally, Mosaic increased and extended its committed line of credit. The 5-year $ 2.5 billion facility matures in November 2026 and replaces the $ 2.2 billion line of credit maturing in November 2022. This size increase provides additional security and flexibility and reflects the growth of the company.

“Today’s announcement reflects our continued commitment to a balanced allocation of capital. Our successful business transformation has enabled us to invest in growth, strengthen the balance sheet and return capital to shareholders, ”said Joc O’Rourke, President and CEO. “With an improving cost situation and balance sheet, Mosaic is well positioned for the future.”

About the Mosaic company

The Mosaic Company is one of the world’s leading producers and distributors of concentrated nutrients for phosphate and potash crops. Mosaic is a unique supplier of phosphate and potassium fertilizers and food ingredients to the global agricultural industry. More information about the company is available at www.mosaicco.com.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may include, but are not limited to, statements about proposed or ongoing future transactions or strategic plans and other statements. on future financial and operational results. . Such statements are based on the current beliefs and expectations of the management of The Mosaic Company and are subject to significant risks and uncertainties. These risks and uncertainties include, but are not limited to: the economic impact and operational impacts of the coronavirus pandemic (Covid-19), the potential drop in demand / production of oil and its impact on availability and sulfur prices, political and economic instability and changes in government policies in Brazil and other countries in which we operate; the predictability and volatility of agriculture, fertilizer, raw materials, energy and transportation markets, as well as customer expectations, which are subject to competitive and other pressures and economic and market conditions credit; the level of stocks in the crop nutrient distribution circuits; the effect of future product innovations or the development of new technologies on demand for our products; changes in foreign currencies and exchange rates; international business risks and other risks associated with Mosaic’s international operations and those of joint ventures in which Mosaic participates, including the performance of Wa’ad Al Shamal Phosphate Company (also known as MWSPC), development and start-up timely operations of generation facilities in the Kingdom of Saudi Arabia, and the future success of current plans for the MWSPC and any future modifications to those plans; difficulties in realizing the benefits of our long-term, natural gas-based ammonia supply agreement with CF Industries, Inc., including the risk that the initially anticipated cost savings of the agreement may be not fully realized over its term or that the price of natural gas, gas or ammonia during the term are at levels at which pricing is disadvantageous to Mosaic; client defaults; the effects of Mosaic’s decisions to exit its business operations or locations; changes in government policy; changes in environmental and other government regulations, including the expansion of the types and extent of water resources regulated by federal law, carbon taxes or other greenhouse gas regulations, the implementation of numerical water quality standards for the release of nutrients into Florida rivers or efforts to reduce the flow of excess nutrients into the Mississippi River Basin, Gulf from Mexico or elsewhere; subsequent developments in legal or administrative proceedings, or complaints that Mosaic’s operations have a negative impact on nearby farms, business operations or properties; difficulties or delays in receiving, increased costs or challenges to necessary government authorizations or approvals or increased financial assurance requirements; the resolution of the global tax audit activity; the effectiveness of Mosaic’s processes to manage its strategic priorities; adverse weather conditions affecting operations in Central Florida, the Mississippi River Basin, the Gulf Coast of the United States, Canada or Brazil, including potential hurricanes, excessive heat, cold, snow, precipitation or drought; the actual costs of various items differing from management’s current estimates, including, but not limited to, decommissioning of fixed assets, environmental remediation, reclamation or other environmental regulations, Canadian taxes and charges on the resources, or costs of the MWSPC; reducing Mosaic’s available cash and liquidity, and increasing leverage, due to its use of cash and / or available debt capacity to fund financial collateral requirements and strategic investments ; the contributions of brine to the Mosaic potash mines; other accidents and disruptions involving Mosaic’s operations, including potential mine fires, floods, explosions, seismic events, sinkholes, or releases of hazardous or volatile chemicals; and risks associated with cybersecurity, including loss of reputation; as well as other risks and uncertainties noted from time to time in The Mosaic Company’s reports filed with the Securities and Exchange Commission. Actual results may differ from those stated in forward-looking statements.

Contacts:

The Mosaic Company

Media:
Ben Pratt, 813-775-4206
[email protected]
Where
Investors:
Laura Gagnon, 813-775-4214
Paul Massoud, 813-244-0669
[email protected]

THE SOURCE: The Mosaic Company

See the source version on accesswire.com:
https://www.accesswire.com/660922/Mosaic-Announces-1-Billion-Share-Repurchase-Authorization-Paydown-of-450-Million-November-Debt-Maturity-New-25-Billion-Line-of- Credit-Maturity-in-2026


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