Agricultural companies may double amount of funds attracted on foreign markets
2011-01-06 10:54:59
Ukrainian agricultural companies may increase in 2011 the amount of funds raised on foreign markets by 50% compared to 2010.
Due to the fact that in 2010 the funding from Ukrainian sources was significantly limited due to high interest rates, a boom of Ukrainian companies is expected in 2011 with respect to access to external borrowing markets.
In 2011, around ten agricultural companies are planning IPOs, SPOs, private placements and eurobond issues. The total amount of attracted investments as part of access to international stock markets could reach USD 3 billion, which will actually have a positive impact on the further development of companies and the entire agribusiness sector, experts predict.
In 2010 Ukrainian agricultural companies had shown a good dynamics and attracted about USD 2 billion. If a moratorium on the sale of farmland is not extended and the full-scale land market is introduced in 2012, total investment in agriculture will be about USD 8 billion.