Description: The merger of Potash Corp and Agrium Inc is complete and the new company, Nutrien Ltd, started trading its shares this week. The new mega-enterprise stated the merger was to help it compete in face of declining prices in the potash business. But some Saskatchewan politicians fear that the merger might mean that good head office jobs may flee the province as the newly structured fertilizer producer moves forward.

Date: January 3, 2018

Source: thestarpheonix.com

Link: http://thestarphoenix.com/news/local-news/nutrien-begins-trading-one-day-after-potashcorp-agrium-merger-closes

1) Wiley’s Advanced Accounting: Updated Canadian Edition (Fayerman), discusses various types of business combinations and inter corporate investments. How do you think Potash Corp and Agrium’s combination would fit with the framework Fayerman writes about?

2)  What do you think of this merger as a strategic move to deal with declining potash prices?

3)  What type of accounting information might Nutrien Ltd. need in order to determine where it will locate its business functions?