October 01, 2012 - 2:21 PM
CALGARY - The boss of a New York hedge fund pushing for changes at fertilizer giant Agrium is speaking publicly about the fight for the first time today.
Barry Rosenstein, founder of Jana partners LLC, made a presentation at an investment conference in New York today.
In a slide-show presentation, he says about $50 per share in additional value can be unlocked from Agrium's (TSX:AGU) stock if the company adopts Jana's proposed changes. Agrium shares trade for a little over $100 on the Toronto Stock Exchange.
He says Agrium could see a $15 to $20-per-share boost if it splits off the retail business into a separate company.
Rosenstein says Agrium shareholders will also benefit if it reduces costs and improves the way in which it allocates its capital.
Agrium and Jana have been speaking privately since May, but Rosenstein says his fund is making its case publicly because Agrium hasn't responded constructively so far.
News from © The Canadian Press, 2012