AB Linas Agro Group seeks to acquire a trading company
AB Linas Agro Group has signed share purchase and sale agreement with the aim to acquire 100 of shares of UAB Agro Logistic Service and applied to the Competition Council of the Republic of Lithuania for approval of the transaction. The details of the transaction are not disclosed by the agreement of the parties.
UAB Agro Logistic Service is a trading company that successfully trades in Western European markets. It is a strategic partner of KG Group companies in raw materials for fodder trading business.
“A year ago, we started the process of acquiring companies operating under the name of KG Group and completed it on July 15 this year. After the completion of the transaction, we decided to acquire UAB Agro Logistic Service, a trading company specializing in raw materials and additives for fodder production, as it is a permanent partner of KG Group, has excellent export channels and a wide range of customers. Last year, UAB Agro Logistic Service was not on sale because it is owned by different shareholders,” said Mažvydas Šileika, Finance Director of AB Linas Agro Group.
UAB Agro logistic service has 10 employees, its revenue exceeded 33 million euros in 2020. The company sells goods in the Czech Republic, Poland, Latvia, Estonia, Italy, Germany, Finland, Norway, Denmark, Russia, Belarus, Uzbekistan, and Tajikistan.
As AB Linas Agro, a subsidiary of AB Linas Agro Group, is also engaged in feedstuff trading, the transaction must be approved by the Competition Council of the Republic of Lithuania.
About AB Linas Agro Group
AB Linas Agro Group is the largest agribusiness and food production group in the Baltic States, the shares of which are traded on the Nasdaq Vilnius Stock Exchange. The group of companies operates in the production and trade of agricultural raw materials and food products, and supplies goods and services to farmers.
Linas Agro Group owns 75 companies operating in the Baltic States, Ukraine, Poland, Russia, Belarus, and the Netherlands, and employs over 5,600 people.
The Group’s financial year begins on July 1. The consolidated revenue of the Group for the 12 months of the financial year 2020/2021 amounted to EUR 942 million, and net profit was EUR 15.7 million.
In mid-July this year, Linas Agro Group completed one of the largest business acquisitions: it acquired controlling stakes in AB Kauno Grūdai, AB Kaišiadorių Paukštynas, AB Vilniaus Paukštynas, and related companies.
In 2020, the Group acquired 67.51% stock of agricultural company Kėdainiai District ŽŪB Nemunas and 100% shares of startup UAB Geoface.
Additional information will be provided by:
Mažvydas Šileika, Finance Director of AB Linas Agro Group
Mob. +370 619 19 403