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Atria Plc has signed a shareholders' agreement with the Danish company AS Dan Invest concerning pig production in Russia. Atria will have a 26 % stake in the Russian company OOO Dan Invest, which is the owner of two pig farms: one in Krasnodar and one in Tambov.The farms' production will commence in 2010-2011 and the estimated annual production volume is 180,000 slaughter pigs by 2013. The value of the project is approx. 40 million euro. Atria's investment in this project is three million euro plus a subsequent two million euro after a certain production volume has been reached. To secure its supply for locally produced pork meat Atria will also sign a delivery agreement with OOO Dan Invest. The transaction is estimated to be closed in Q1/2010.
With this agreement Atria secures a better supply and higher quality of locally produced pork meat to its Russian customers and consumers. Modern facilities together with latest feeding and surveillance technology enable production of high quality meat raw material. The new investment will also increase Atria's possibilities to balance the proportion of imported vs. locally produced pork meat. Today Atria has one pig farm in Zaraisk, which already produces 55,000 pigs annually.
http://qfx.quartalflife.com/clients//fi/atria/rss/newsentry.aspx?id=1001878153&culture=en-US
