Linas Agro Group
Notification on material event
AB Linas Agro Group is planning the purchase of one more agricultural company
Panevezys, Lithuania, 2012-05-10 14:01 CEST --
A subsidiary of AB Linas Agro Group UAB Linas Agro Konsultacijos signed purchase and sale agreement of shares with stakeholders of Labūnavos agricultural company on acquisition of 87% of shares of Labūnavos agricultural company. The agreements shall come into force if there are no objections from Competition Council, the decision from which is expected in the middle of July. UAB Linas Agro Konsultacijos are planning to spend LTL 21.4 million on the acquisition of shares.
Labūnavos agricultural company was established in Kėdainiai district in 1992. The company cultivates 2,800 ha of land. The scope of its activities includes dairy and meat production (600 dairy cows and 100 beef cattle), oilseed rape, wheat, barley and corn cultivation. There are 125 employees at the company. In 2011, its turnover totaled LTL 16.3 million, EBITDA (earnings before interest, tax, depreciation and amortization) amounted to LTL 5.2 million and the net profit was LTL 3.7 million. The company has almost 500 ha of its own land and the total assets worth LTL 34.4 million LTL.
“This investment is a continuation of our planned expansion in agricultural production area. Acquisition of agricultural companies is part of our long-term strategy, which includes plans to expand the area of cultivated land up to 20 thousand ha by acquiring most promising agricultural companies. Labūnavos agricultural company has big potential because it is one of the leading agricultural companies in Lithuania, its activities are diversified and its turnover and net profit are growing each year. But the most important thing is that the company’s activities have always been profitable. After acquisition of Labūnavos agricultural company the area of cultivated land owned by our Group will exceed 14 thousand ha”, commented Deputy Managing Director of AB Linas Agro Group Andrius Pranckevičius.
AB Linas Agro Group controls five more agricultural companies in the most yielding Lithuanian areas – Panevėžys district Aukštadvario ŽŪB, Šakiai district Lukšių ŽŪB, Biržai district Medeikių ŽŪB, Sidabravo ŽŪB and Užupės ŽŪB. Their activity covers dairy production, cultivation of grains, oilseed rape and sugar beet.
About AB Linas Agro Group
AB Linas Agro Group is an agribusiness parent company engaged in the production and trade of grains, oilseeds, feedstuff and agricultural inputs. It controls companies in Lithuania, Latvia, Estonia and Denmark. The group consists of international agricultural production trading company in Lithuania AB Linas Agro, grain storage company UAB Linas Agro Grūdų centras KŪB (controlling grain storages in Joniškis, Kėdainiai, Kupiškis, Pasvalys, Šakiai district, Šiauliai and Vilkaviškis), Latvian trading company SIA Linas Agro, international trading company Linas Agro A/S in Denmark, group of companies ŽŪB Landvesta, managing agricultural land, group of five agricultural companies UAB Linas Agro Konsultacijos, operator of lignin biofuel accumulation UAB Lignineko and other companies. The financial year of the companies begins on 1 July.
Together with partners, the controlling company owns agriculture-related products and services providing company UAB Dotnuvos projektai and logistics company UAB Jungtinė ekspedicija.
From 17 February 2010 AB Linas Agro Group is included in the main list of companies of NASDAQ OMX Vilnius stock exchange.
Deputy Managing Director of AB Linas Agro Group
Phone +370 687 71 419