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Provimi acquired 80% of the Russian premix company ZAO Rybflotprom

Provimi (listed on Euronext in Paris), one of the world leaders in the animal nutrition business, today announces that it acquired 80% of the Russian premix company ZAO Rybflotprom from the Sodrugestvo Group.

Provimi Russia and Rybflotprom are the two leading companies in premixes and concentrates in Russia. With this acquisition the Provimi Group becomes the undisputed number one premix and concentrates producer in the country.

Provimi CEO Wim Troost said: "This acquisition means a significant strengthening of our already leading position in the important Russian market. After the acquisition in October of Pet Hungaria, the number one private label pet food producer in Hungary, this is Provimi’s second major acquisition in a short time. Both acquisitions are fully in line with our strategy of expanding in high margin categories and in the fast growing markets such as Central and Eastern Europe.”

Rybflotprom is located in Kaliningrad harbour, a strategic location for the production and distribution of premixes and concentrates into Russia. The company employs 130 people. In 2004, it had an annual turnover of EUR 30 million.
Russia is one of the top ten world markets for feed and one of the faster growing markets worldwide, both for premixes and concentrates as well as complete feed.

In Russia, Provimi already has a central head office in Moscow and five plants in the Samara, Rostov, St.Petersburg and Moscow regions. These produce premixes, concentrates, complete feed and specialties and employ about 1000 people.
Rybflotprom will immediately have a positive contribution to earnings per share. The acquisition will be financed out of the Group’s existing financial facility. The Sodrugestvo Group will remain shareholder in the company with 20% of the shares.
On 14 November Provimi will publish its turnover for the first nine months of 2005.

The Provimi Group is active worldwide in all types of animal nutrition and is a leader in all markets where it is present. It employs over 8,000 people and has sales of over EUR 1.6 billion. Provimi has more than 100 production centres in some 30 countries and exports to over 100. Provimi manufactures products and supplies technical support for all species, including ruminants, poultry, swine, fish and pets.

7.11.2005

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