MHP plans EU poultry complex purchase
MHP Holding, the largest Ukrainian producer of poultry meat intends to acquire a poultry meat processing plant in Germany or some other EU country.
“The holding is seeking a way to enter the appealing market of the European Union and is ready to invest about 100-150 million euros in the project,” said Anastasia Sobotyuk, the Head of Investor Relations Department.
MHP plans to deliver raw materials for its foreign poultry complex from their Ukrainian enterprises. For this purpose the company is currently completing the process of obtaining the permit for supplying poultry meat to the EU market. In August, the financial director of the company, Victoria Kapelyushnaya said that holding expects “a formal clearance” of permission from EU regulating authorities.
In the spring board chairman and largest shareholder, Yuri Kosyuk stated that in 2011 MHP will enter the EU market with the sale of its core products – chicken. The company is currently negotiating with several European partners, and the best option will be selected.
According to experts, MHP is the fastest growing poultry producing company of Ukraine in terms of volume sales. In the first half of 2011 MHP increased sales by a quarter. However, the holding company’s net profit dropped by 16% – to $86 million. In the official statement the company’s management noted that the rate of profit fell due to exchange rate differences.
