Fertilizantes Heringer, one of the largest in the country, closes production units Brazilian Fertilizer Heringer has decided to close several of its factories and distribution centers in the country as part of a restructuring plan to deal with high debt, two sources told Reuters on Thursday.

SÃO PAULO, Brazil Heringer, one of the largest companies in the Brazilian fertilizer market, sent Thursday a message to workers at least 10 facilities, including factories and regional offices, warning that they would be threatened with closure, according to a message received by Reuters

. ] The employees of these units would be fired. Heringer has approximately 3,000 employees.

In the message, Dalton's chief executive, Carlos Heringer, said the restructuring had become necessary after some creditors had obtained a favorable court ruling allowing them to freeze their bank accounts to secure repayment of their debt.

The Heringer Press Office did not confirm the information and indicated that it would return a call for clarification, but has not yet done so.

The Heringer Investor Relations Department stated that company executives were in meetings and that the company could possibly send a statement to the market on Thursday

Heringer had a debt of 2.9 billion reais at the end of the third quarter, according to his press release. This compares to a market capitalization of R $ 224 million, according to Refinitiv Eikon of Thomson Reuters.

According to a source in connection with the Mato Grosso fertilizer distributors, in the heart of Brazil's cereal production area, Heringer has informed a number of distributors of the closure of factories and offices that would continue to work.

Before the closures, Heringer owned 16 plants producing fertilizer from imported materials and a sulfuric acid plant, as well as offices. regional crops in the most important agricultural areas of Brazil, such as the Midwest and Matopiba region

The company has the capacity to process 6.2 million tons of fertilizer a year, used in various types of crops, including soybeans. corn, cotton, coffee and sugar cane.

RENUNCIATION OF DIRECTORS

In a note to the market on Thursday, the company said that Rodrigo Rezende and Pedro Augusto Ferreira, respectively CFO and

The company's chairman, Dalton Carlos Heringer, will appoint temporarily the financial director. Alfredo Fardin will take care of the logistics.

The statement makes no reference to restructuring or closing down units.