OJSC Cherkizovo Group, the largest meat producer & manufacturer in Russia, has announced their acquisition of agricultural assets from fellow Russian company, Voronezhmyasoprom.
The total list of assets acquired in the acquisition include a swine breeding facility in Voronezh; a grain storage facilities in Voronezh and Penza regions with have a total storage capacity of over 210 000 tonnes upgradable to 240,000 tonnes; a swine feed mill currently being built, and a bank of land which is an estimated 30 000 ha of size in the Voronezh region.
The Cherkizovo Group, established in 2005, operates 7 meat processing plants, 7 poultry farms, 3 feed mills and 3 trading houses. The purchase of the agricultural assets will bring the total number of feed mills operated by the group to 4 once the new feed mill has reached completition.
Cherkizovo stated that the acquired agricultural assets will continue to strengthen the compny's positions at the top of the Russian meat market, assuring biosecurity in pork production, greater cost management efficiency and an increased better degree of vertical integration within the Company.