You're reading: Bakhmatiuk merges Avangard with Ukrlandfarming

Oleh Bakhmatiuk, the owner of a 77.49% stake in Avangardco Investments Public Limited, the holding company of the largest Ukrainian egg producer Avangard, has transferred the stake to Ukrlandfarming Plc, reads a report of Avangard on Wednesday.

Ukrlandfarming Plc, which is wholly owned by Bakhmatiuk, is the holding company of the Ukrlandfarming group.

The group has a land bank of 480,000 hectares.

The report says that the shares will be transferred within two weeks.

"This transaction is aimed at restructuring and rationalizing my ownership of agricultural assets, and will deliver additional benefits to all of Avangardco’s shareholders, by providing additional supply and operational security, whilst also deriving significant benefits from a larger and more integrated sales and marketing offer," Bakhmatiuk said.

The report says, referring to the State Statistics Service, that in 2010 Ukrlandfarming accounted for approximately 3% of the total Ukrainian grain crops production, approximately 8.6% of the total Ukrainian sugar production, approximately 14.3% of the total Ukrainian beef production and approximately 12.9% of the total Ukrainian leather production.

Ukrlandfarming also owns and operates four grain silos and 110 horizontal storage facilities with a total storage capacity of around 1.1 million tonnes.

Avangard is a vertically integrated holding which produces eggs.