Libya: Management Strategy Yara Enters into Agreement with Libya’s National Oil Corporation to Sell Lifeco Stake
Yara has sold its 50 % stake in the Libyan Norwegian Fertiliser Company (Lifeco) to Libya’s National Oil Corporation (NOC). Prior to this deal, Yara held 50 % stake in Lifeco while NOC and Libyan Investment Authority each held a 25 % stake.
Oslo/Norway – Yara has recently entered into an agreement with Libya’s National Oil Corporation (NOC) and the Libyan Investment Authority (LIA) on December 31, 2020 to divest its full ownership interest in the Libyan Norwegian Fertiliser Company (Lifeco).
Yara’s full legal ownership interest in Lifeco together with all economic rights and all obligations and liabilities attaching or relating thereto are transferred to NOC as of December 31, 2020.
Prior to this agreement, Yara owned 50 % of Lifeco, while NOC and LIA each held a 25 % stake. Yara’s book value of the investment is zero, and the company expects to book a minor pre-tax gain in its fourth-quarter 2020 results following the transaction.