PhosAgro Launches PA-Cherepovets Minority Squeeze Out

For Immediate Release 18 August 2014 PhosAgro Launches PhosAgro-Cherepovets Minority Squeeze Out Moscow - PhosAgro (Moscow Exchange, LSE: PHOR), one of the world's leadingvertically integrated phosphate-based fertilizer producers, has sent acompulsory share purchase (squeeze out) notification for the purchase of allshares belonging to OJSC PhosAgro-Cherepovets minority shareholders. The shares will be purchased at the price of RUB 44 per ordinary share with anominal value of RUB 1.10. Following the completion of the voluntary share purchase offer during whichover 10% of minority shareholders tendered their shares, PhosAgro andaffiliated parties now hold a 97.99% stake in PhosAgro-Cherepovets,. PhosAgroplans to complete consolidation of 100% ownership in PhosAgro-Cherepovets bythe end of 2014, at a cost of slightly over RUB 1 billion. PhosAgro CEO Andrey Guryev said: "This decision is in line with our strategy ofconsolidating ownership in PhosAgro's subsidiaries and the subsequent merger ofproduction assets." For further information please contact: OJSC PhosAgro Irina Evstigneeva, Head of Corporate Finance and Investor [email protected]+7 495 231 3115 Timur Belov, Press Officer+7 495 232 9689 EM Sam [email protected]: +44 7554 993 032t: +7 499 918 3134 Notes to Editors PhosAgro is one of the leading global vertically integrated phosphate-basedfertilizer producers. The Company focuses on the production of phosphate-basedfertilizers, feed phosphate and high-grade phosphate rock (P2O5 content of notless than 39%), as well as ammonia and nitrogen-based fertilizers. The Company is the largest phosphate-based fertilizer producer in Europe, thelargest producer of high-grade phosphate rock worldwide and the second largestMAP/DAP producer in the world (excluding China), according to Fertecon.PhosAgro is also one of the leading producers of feed phosphates (MCP) inEurope, and the only producer in Russia. PhosAgro has 2.1 billion tonnes of resources (according to JORC) of highquality apatite-nepheline ore. The Company's mines and phosphate rockproduction facilities are located in the mountainous areas of the KolaPeninsula in the Murmansk region of northwest Russia, whereas its fertilizerand feed phosphate production assets are located near the city of Cherepovetsin the Vologda region and near the city of Balakovo in the Saratov region ofsouthwest part of European Russia. PhosAgro's 2013 IFRS revenue was over USD 3.3 bln and EBITDA was USD 752 mln.The Сompany's net debt/EBITDA ratio was 1.8 at 31 December 2013.

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