Fertilizer Maker Terra Fights Takeover Attempt

SIOUX CITY, Iowa (AP) — Fertilizer manufacturer Terra Industries Inc. said two independent proxy companies recommend that Terra shareholders elect three of the company's board members at the upcoming annual meeting.

The company is fighting off a buyout attempt by competitor CF Industries Holdings Inc., which has nominated three people to the Terra board.

In a statement released Wednesday, Terra said that Proxy Governance Inc. and Egan-Jones Proxy Services recommend Terra directors Martha O. Hesse, Dennis McGlone and Henry R. Slack.

The election is scheduled for Terra's annual meeting on Nov. 20.

"CF Industries Holdings Inc.'s latest proposal is inadequate and opportunistic and not in the best interests of Terra shareholders," Terra CEO Michael Bennett said in a statement. "We strongly believe that CF's nominees, if elected to Terra's board, would work to advance CF's inadequate proposal and CF's self-serving interests at the expense of all other Terra shareholders."

Terra shares were down $1.01, or 2.8 percent, to $35.68 in afternoon trading. CF Industries fell $1.72, or 2 percent, to $77.90.