As explained by Head of the Agricultural firm "TRIO" Evgenia Uvarkina, the parties are in the process of working out the final conditions and obtaining all necessary approvals.
The potential deal will ensure the further development of Yeletsky sugar plant, the growth of production capacity and the optimization of the capital structure, including through additional investments from the strategic investor.
As a result of the deal, the business of the group of companies “TRIO” of the selected segment will receive a strong basis for further expansion of the range of operations and development of agriculture in the region. Within the framework of the planned partnership, it is planned to combine the competencies of the two companies in order to enhance the efficiency of operations through the application of the best practices of both companies. The support from the two shareholders will create a significant resistance to the volatility of external market factors.
It is not yet known whether the investor will gain control over the livestock unit of the company, we will remind that the holding, established in 1997, includes 2 dairy complexes: for 1 000 and 2 000 cows, its own training cluster-center for practical cattle breeding "School of Action". In addition, the group includes Yeletsky sugar plant with a production capacity of processing 10 thousand tons of sugar beet per day, which has passed a full cycle of modernization.
According to market participants interviewed by The DairyNews, the livestock unit will remain under the responsibility of the founders of the group. It is unlikely that investors will be interested in it.
The French group Sucden (SUCRES&DENREES) has been working in Russia since 1991 and specializes in the sugar business.
Earlier it became known that Evgenia Uvarkina, can become the mayor of Lipetsk. In 1997 she became one of the founders of the agricultural company "TRIO", now she is a co-founder and Chairman of the Board of the group of the same name, a member of the Board of the non-profit organization "National Union of milk producers". In March 2017, she joined the Public chamber of the Russian Federation.