Reuters first to report that Canada has vetoed BHP`s takeover bid for Potash

When the Canadian government shocked markets on Nov 3 by vetoing a hostile takeover bid by BHP Billiton for fertilizer maker Potash Corp, Reuters clients were the first to learn the news. The crucial Reuters alert, sourced to a person close to the bid, beat Dow Jones by 31 seconds and Bloomberg by 48 seconds. Potash shares fell 5 percent and BHP shares rose 3 percent on the surprise news. The beat followed a series of Reuters exclusives in the run-up to the decision, including interviews with leading provincial politicians. Even as markets assumed that the deal would go ahead, Reuters made clear to clients how fast domestic opposition to the bid was growing in Canada, and highlighted how the groundswell could pose a real risk to the minority government of Stephen Harper. After the decision was made, Reuters published a series of hard-hitting stories about what it meant for Potash, for BHP and for Canada’s reputation as a pro-business country. Reuters was also first to report on Nov 4 that the Saskatchewan securities watchdog had put off a scheduled hearing on Potash`s poison pill indefinitely, in another sign that BHP’s takeover bid was effectively dead.