Panevezys, Lithuania, 2013-07-22 15:08 CEST (GLOBE NEWSWIRE) -- A subsidiary of AB Linas Agro Group UAB Linas Agro Konsultacijos signed purchase agreement on acquisition of 100% of shares of UAB Žem?s ?kio Investicijos. The agreement shall come into force September 30, 2013 if there are no objections from Competition Council. UAB Linas Agro Konsultacijos is planning to spend approximately LTL 18.5 million on the acquisition of shares.
UAB Žem?s ?kio Investicijos is the asset management company whose main asset is a 98.07% stake in farming company Panevezys district Žibartoni? Ž?B.
“We buy the largest shareholder of Panevezys district Žibartoni? Ž?B, because it is the easiest way to purchase the shares of agricultural company. We are in close cooperation with Žibartoni? farming company for several years, have been their adviser in agronomic matters and management, therefore the company's situation is well known to us. Žibartoni? farming company cultivates 3,210 ha of land and has 105 employees. The scope of its activities includes dairy and crop production: it raise almost 2,500 heads of cattle, from them over 870 are dairy cows; also cultivate oilseed rape, wheat, barley, corn and sugar beet. During 9 months period from July 2012 to March 2013 sales revenue of the company totaled LTL 16.9 million, EBITDA (earnings before interest, tax, depreciation and amortization) amounted to LTL 3.7 million and the net profit was LTL 2.7 million. Company's assets book value at the end of March 2013 was LTL 31 million.
Žibartoni? farming company is attractive to us because it runs modern dairy farm, but its activity is not limited to dairy farming. Besides annual production of over 6,300 tons of milk, it also produces over 7,200 tons of grain, about 1,600 tons of rapeseed, nearly 13,000 tons of sugar beet per year. After acquisition of Panev?žys district Žibartoni? Ž?B, we will expand the area of cultivated land owned by our Group to 17 thousand ha”, commented Deputy Managing Director of AB Linas Agro Group Andrius Pranckevi?ius.
AB Linas Agro Group controls seven more agricultural companies in the most yielding Lithuanian areas – Panev?žys district Aukštadvario Ž?B, Šakiai district Lukši? Ž?B, Biržai district Medeiki? Ž?B, K?dainiai district Lab?navos Ž?B, Sidabravo Ž?B, Užup?s Ž?B and Noreikiški? Ž?B. Their activity covers dairy and meat 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 Gr?d? centras K?B (controlling grain storages in Joniškis, K?dainiai, 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 Ž?B Landvesta, managing agricultural land, holding of agricultural companies UAB Linas Agro Konsultacijos, agricultural inputs supplier UAB Dotnuvos Projektai, operator of lignin biofuel accumulation UAB Lignineko, logistic company UAB Jungtin? Ekspedicija and other companies. The financial year of the companies begins on 1 July. The total headcount of the Group exceeds 970 employees. Consolidated revenue of AB Linas Agro Group for nine months of financial year 2012/2013 totaled LTL 1,658 million, EBITDA – LTL 116 million.
Together with partners, AB Linas Agro Group owns grain storage company Kar?emos Kooperatin? Bendrov?. Earlier this month, it has announced its intention to acquire the group of Latvian poultry companies.
From 17 February 2010 AB Linas Agro Group is included in the main list of companies of NASDAQ OMX Vilnius stock exchange.
More information:
Andrius Pranckevi?ius Deputy Managing Director of AB Linas Agro Group Phone +370 687 71 419 E-mail a.pranckevicius@linasagro.lt
