On the 30th anniversary of its foundation, AB Linas Agro Group has completed one of the largest business acquisitions in Lithuania, acquiring the controlling stakes from several companies, acting together as KG Group.
On 15 of July, AB Linas Agro Group completed one of the largest business acquisitions in the history of Lithuania: it has acquired controlling stakes from shareholders in AB Kauno Grūdai, AB Kaišiadorių Paukštynas, AB Vilniaus Paukštynas, and the related companies, acting together as KG Group.
Following this transaction, AB Linas Agro Group acquired a controlling stake in a total of 34 companies operating in the fields of poultry business, grain, flour, instant products production, feed and premix production, and trade in veterinary products. The companies are registered and operate in Lithuania, Latvia, Estonia, Poland, Belarus, Russia and the Netherlands.
To finance the transaction, AB Linas Agro Group has received the syndicated loan from three banks – Luminor, Swedbank and SEB Bank. Meanwhile, a third of the transaction amount was financed using the company’s resources.
The amount of the transaction cannot be disclosed as per agreement of the parties.
Following this acquisition, AB Linas Agro Group has become a vertically integrated group of agricultural and food production companies in the Baltic region, operating the entire production chain and producing products from the field to the table. The group’s projected annual revenue could reach about €1.3 billion and EBITDA of around €50-60 million. The number of employees will increase from 2,100 to 6,000. After the transaction, AB Linas Agro Group will have 76 subsidiaries.
