UNI - EN REPORT No6/2013
Kernel Holding S.A. entered into a share purchase agreement to acquire an 80% interest in a farming business that manages 108,000 hectares of leasehold farmland and operates 100,000 tons of grain storage capacity.
With a highly concentrated and fully-farmed land bank in the southern Chernihiv and Sumy regions and the northern Poltava region, the business is self-sufficient in working capital and is fully-equipped with modern farming machinery.
Kernel will pay USD 68 million for the 80% interest in the business which has a current net debt of USD 101 million. Closing is subject to approval by the Antimonopoly Committee of Ukraine.
Following the acquisition, Kernel expects to cultivate 422,000 ha of land in 2013 season.