Milkiland, a dairy group with assets in Ukraine and Russia, has acquired Mazowiecka Spoldzielnia Mleczarska 'Ostrowia', a cheese factory in Ostrow Mazowiecka of Masovian Voivodeship, Poland.
“Ostrowia is an advanced cheese making facility capable of producing
wide range of dairy products essential to Milkiland, including hard
cheese, curd cheese, yoghurts and processed cheese,” Milkiland said in a
press release.
As Milkiland said in a statement on the Warsaw Stock Exchange,
Milkiland EU sp. z o. o., a newly established Polish subsidiary of
Milkiland N.V., on July 31, 2012, acquired 100% shares in Polish-based
Emir 10 sp. z o. o., a company that owns the business of former
Mazowiecka Spoldzielnia Mleczarska ‘Ostrowia’, which is currently in
bankruptcy liquidation. The acquisition price comprised PLN 49.3 million
(EUR 12 million).
According to the press release, in 2003-2007, the Ostrowia underwent
major modernization and currently comprises a state-of-the-art cheese
plant. Currently Ostrowia is in stand-by mode with low capacity
utilization. “It needs investments to operate at full capacity and be
adjusted to comply with CIS markets requirements,” reads the press
release.
Milkiland plans to accomplish necessary investments by the end of 2012 and achieve the target capacity utilization in 2013-2014.
After reaching its target volume output in 2013-2014, Ostrowia will
contribute around 15% to Milkiland’s consolidated revenue and EBITDA,
reads the statement on the stock exchange.
According to Anatoliy Yurkevych, CEO, Milkiland N.V., Ostrowia is a
perfect addition to Milkiland’s asset base and after launching
investments will become one of the largest and best equipped cheese
making facilities of Milkiland.
“Poland is already one of the largest dairy exporters in EU, and
Milkiland will turn its still untapped potential to CIS markets,
primarily Russia and Ukraine. Also, with Ostrowia, Milkiland opens a
door to a tremendous EU dairy market, with long term opportunities for
growth and business diversification,” Yurkevych said.
Milkiland Group is a top five CIS diversified dairy producer operating in Russia, Ukraine and Poland.
In Ukraine, the group operates 10 plants and offers a wide range of
fresh dairy, cheese and butter under Dobryana and Kolyada brands.
In Russia, the group produces fresh dairy products at Moscow-based
OJSC Ostankino Dairy Combine and sells under the Ostankinskaya brand.
Also, Dobryana Ukrainian cheese is sold in the most Russian regions.
Milkiland N.V. is a Dutch holding company of the Milkiland Group. DE
Milkiland Ukraine and Milkiland sp. z. o. o. are the 100% subsidiary
company of Milkiland N.V., which control the group’s business in Ukraine
and Poland subsequently.
Shares of Milkiland N.V. are listed on the Warsaw Stock Exchange since December, 6, 2010.
