LAWIN represents Invalda in making an investment into the Litagra group of agricultural companies

LAWIN, represented Invalda, an investment company, in the acquisition of newly issued shares of the Litagra Group of agricultural companies, worth LTL 37.1 million. For an additional LTL 1.5 million Invalda will acquire the shares from Litagra’s shareholders and will hold in total a 36.9% interest in Litagra’s share capital.

“The new financing attracted will enable us both to strengthen the ability to provide full-scope services to farmers and grain trade, as well as a further expansion of production of primary agricultural products - grains and milk. The investment will certainly be beneficial for both our customers and employees and all suppliers and partners”, – said Mr. Gintaras Kateiva, the founder and Chairman of the Board of Litagra, in Invalda’s press release.

Mr. Darius Šulnis, President of Invalda, noted that the perspectives of the agricultural business in Lithuania were good. “We think that long-lived traditions and the right conditions for farming allow the best companies in the Lithuanian agricultural sector to be successful and competitive in the global context. We believe that Invalda with its new investments and its team experience, ambitions and ideas will strengthen the position of Litagra as one of the leaders in the region and will create value to farmers, other partners, employees and investors”,– said D. Šulnis.

Mr. Žilvinas Zinkevičius, Partner at LAWIN Vilnius says, that the transaction was an interesting and challenging job for him and his team of legal experts. “The specifics of the deal required great efforts to harmonize interests of different parties - the interests of the company, the already existing financial investor - a private capital fund, and Invalda as a new financial investor”.

Invalda AB, established in 1992, is an investment company whose primary objective is focusing on long-term stable growth, successful development of activities and assuring financial returns to shareholders. The largest part of Invalda Group activities are performed in Poland and Lithuania. Shares of Invalda have been listed since December 19, 1995 (then the National Stock Exchange of Vilnius, Lithuania). From the January 1, 2008 the company’s shares have been on the Main List of NASDAQ OMX Vilnius stock exchange.

Litagra possesses a number of companies based both in Lithuania and abroad engaged in grain processing and elevators services and other agricultural activities. Before the conclusion of the contract, the value of the company was set at LTL 200 mln. Investment contracts were signed on November 7, while closing of the transactions will take place after having obtained permission from the Competition Council.