Linas Agro Group acquired Labunavos agricultural company

7/16/2012 2:00 AM EST

Linas Agro Group AB
Notification on material event

Linas Agro Group acquired Labunavos agricultural company

Panevezys, Lithuania, 2012-07-16 08:00 CEST (GLOBE NEWSWIRE) -- A subsidiary of
AB Linas Agro Group, UAB Linas Agro Konsultacijos having received permission
from Competition Council acquired 98.55 pct. shares of Labunavos agricultural
company for LTL 22.5 million. 

Labunavos agricultural company was established in Kedainiai district in 1992.
The company cultivates 2,800 ha of land. The scope of its activities includes
dairy and meat production (600 dairy cows and 100 beef cattle), oilseed rape,
wheat, barley and corn cultivation. There are 125 employees at the company. In
2011, its turnover totaled LTL 16.3 million, EBITDA (earnings before interest,
tax, depreciation and amortization) amounted to LTL 5.2 million and the net
profit was LTL 3.7 million. 

“We planned to acquire 87 pct. of shares but after some negotiation with the
shareholders acquired more as company is viable: she has always been profitable
and its EBITDA increased during the last three years. The company looks
attractive to us also because of its own 490 hectares of land, because our
strategy is to expand arable land and 20 thousand ha, the acquisition of viable
agricultural enterprises. Labunavos agricultural company increased cultivated
land area of our Group to 14,200 hectares”, says Deputy Managing Director of AB
Linas Agro Group Andrius Pranckevicius. 

AB Linas Agro Group controls five more agricultural companies in the most
yielding Lithuanian areas – Panevežys district Aukštadvario ŽUB, Šakiai
district Lukšiu ŽUB, Biržai district Medeikiu ŽUB, Sidabravo ŽUB and Užupes
ŽUB. Their activity covers dairy production, cultivation of grains, oilseed
rape and sugar beet. 



About AB Linas Agro Group

AB Linas Agro Group is an agribusiness parent company whose subsidiaries are
engaged in the production and trade of grains, oilseeds, feedstuff and
agricultural inputs. It controls companies in Lithuania, Latvia, Estonia and
Denmark. The group consists of international agricultural production trading
company in Lithuania AB Linas Agro, grain storage company UAB Linas Agro Grudu
centras KUB (controlling grain storages in Joniškis, Kedainiai, Kupiškis,
Pasvalys, Šakiai district, Šiauliai and Vilkaviškis), Latvian trading company
SIA Linas Agro, international trading company Linas Agro A/S in Denmark, group
of companies ŽUB Landvesta, managing agricultural land, group of five
agricultural companies UAB Linas Agro Konsultacijos, operator of lignin biofuel
accumulation UAB Lignineko and other companies. The financial year of the
companies begins on 1 July. 

Together with partners, the controlling company owns agriculture-related
products and services providing company UAB Dotnuvos projektai and logistics
company UAB Jungtine Ekspedicija. 

From 17 February 2010 AB Linas Agro Group is included in the main list of
companies of NASDAQ OMX Vilnius stock exchange. 





More information:


         Andrius Pranckevicius
         Deputy Managing Director of AB Linas Agro Group
         Phone +370 687 71 419
         E-mail