Lantmännen has, in partnership with DLG of Denmark, reached agreement with HaGe Kiel AG on the acquisition of Polish agricultural products company HaGe Polska. Lantmännen and DLG will each directly own 50 percent of the company after the acquisition. The vendor, HaGe Kiel, is owned by DLG (55%), Lantmännen (39%) plus German shareholders (6%). The deal, which gives Lantmännen a direct shareholding in HaGe Polska, means Lantmännen's position on the Polish market is strengthened.
HaGe Polska is a grain trader and wholesaler of farming products, such as seed, plant nutrition and plant protection to agricultural companies within arable farming. HaGe Polska had a turnover of SEK 1.1 bn in 2012 and primarily operates in the west of Poland.
“Taking a direct stake in HaGe Polska reinforces our presence on this large and important European agricultural market. Poland is a significant market today and an important growth market for Lantmännen’s combined agricultural offer around the Baltic area,” said CEO and Group President of Lantmännen, Per Olof Nyman.
Poland is an important farming market, not least when it comes to grain trading, and Polish agriculture is undergoing major changes and developing fast.
“By further developing our Polish operations, we can provide competitive offers to both local farmers and to customers in the feed and grain industry. The acquisition also means Lantmännen is further strengthening its international position on the agricultural market in the Baltic area,” added Per Olof Nyman.
The acquisition is expected to be completed in the fourth quarter subject to official approval.