MHP agroholding purchasing meat processing company for $15 mln in Ukraine

MOSCOW. May 2 (Interfax) - MHP agroholding, Ukraine's largest producer of chicken meat, on April 15 entered into an agreement to acquire 100% of the corporate rights in a meat processing company in Ukraine for 14 million euros, or $15.1 million, Ukrainian media reported, citing the agroholding's annual report.

"The group had rendered payment of 3.5 million euros for 24.9% of the related corporate rights prior to the date of approval of the financial statement," the company said.

The deal is expected to be completed by the end of the year. Certain conditions must be met, including obtaining regulatory approval.

MHP also said that it entered into an agreement on December 29, 2023, to acquire 81% of the corporate rights in a poultry farming and meat processing business in Albania for an estimated fee of 16.8 million euros, or $18.1 million.

As previously reported, the antimonopoly authorities of Albania and Ukraine had already approved the deal, allowing Slovenia's Perutnina Ptuj poultry producer, part of MHP, and Balfin-Balkan Finance Investment Group sh.p.k. in Tirana, Albania, to establish a joint venture in Albania, namely Perutnina Ptuj Albania sh.p.k. According to the deal, Perutnina Ptuj Albania sh.p.k. is buying the Driza Sh.p.k., Fresh Chicken Albania 2019 sh.p.k., Industria Foragjere (VEAF) sh.a., and EURO ALB 2009 SHPK companies, as well as the assets of the Kompleksi Patos and Qendra Prinderore companies, owned by businessman Gikmet Drizi.

MHP agroholding also produces grain, sunflower oil, and meat products. The holding company's shares trade on the main floor of the London Stock Exchange. The founder, majority shareholder and executive board chairman of MHP is Ukrainian businessman Yury Kosyuk.

MHP swung to net profit of $142 million in 2023 from a net loss of $231 million in 2022, and revenue rose 14% to $3.021 billion.