Bunge to sell Brazil fertilizer business for $3.8B

(AP) — Bunge Ltd. says it is selling its fertilizer nutrient assets in Brazil for $3.8 billion cash to Vale S.A.

Bunge says the deal lets it exit that business at a good time and instead focus on its food and ingredients business and expand into sugar and other complementary lines.

Bunge also plans to use some proceeds to reduce debt. It will retain its retail fertilizer business in Brazil and enter into a supply agreement with Vale through 2012.

Vale is a Brazil-based global mining company.

The deal is subject to regulatory approvals and is expected to close in the second quarter.