According to the official information released by UkrLandFarming press-centre, one of the largest food, agricultural and industrial goods producer Cargill purchased 5% of UkrLandFarming shares. The purchase had been made towards the end of 2013 and made public recently. Head of the Board of Directors as well as majority owner of UkrLandfarming Oleg Bakhmatyuk stated that cooperation of two companies will allow them to further develop their activities on the international scene as well as grow scale of their operations and contribute to increase in effectiveness of their operations. Cargill is not aiming to be involved in any of the operational activities of UkrLandFarming. Approximate cost of shares acquisition is estimated at USD 200 million.

UkrLandFarming is amongst the top agrarian holdings in terms of land bank, production volumes and diversification of its activities. It is involved in growing of crops and seeds, egg and egg products production (by Avangardco IPL), sugar production, animal farming, meat production, as well as distribution of agricultural commodities. According to data published by the company, total revenue of the company reached USD 1.9 billion and its EBITDA totaled to USD 0.8 billion in 2012.

Cargill is an international company involved in production and supply of food, agricultural commodities and financial services. Company was founded in 1865 with 142 thousand employees in 67 countries worldwide. Total revenue of the company for 2013 is estimated at USD 136.7 billion with net profit og USD 2.31 billion.

Author: Alex Morgun, Financial Analyst, UkrAgroConsult