Incitec Pivot’s plan to offload its fertilisers business has fallen over after it dropped negotiations with potential Indonesian buyer PT Pupuk Kalimantan Timur, as it indicated a share buyback worth up to $900 million will go ahead.

The decision by the chemicals giant to walk away from talks for the sale of Incitec Pivot Fertilisers followed “careful consideration” of how to maximise value for shareholders as discussions dragged on for more than a year, the company said on Wednesday.