Sodrugestvo Finalizes Joint Venture With CAROL Cooperative in BrazilBy Sodrugestvo Group, PRNE
Tuesday, December 7, 2010
New Entity to Provide Expanded Presence in Brazilian Market for Global Producer
LUXEMBOURG and NEW YORK, December 8, 2010 - Sodrugestvo Group has closed on a joint venture with CAROL, one of
Brazil's largest farmers' cooperatives. The new entity, called Carol-Sodru
S.A., will considerably strengthen the company's presence in the Brazilian
Sodrugestvo owns a 55 percent stake in the joint venture with the
intention to acquire the remaining shares over the next few years. Fernando
Lauria has been appointed CEO of Carol-Sodru.
"Much of the soybean production in the Americas comes from Brazil, and
CAROL, which has been at the forefront of the Brazilian cooperative movement
since the 1960s, is one of the most important and respected players in the
industry," said Stephane Frappat, CEO of Sodrugestvo. "As we continue to look
for new strategic growth opportunities - both geographically and in terms of
our product and process offerings - it is fitting that we expand our presence
in the largest economy in South America."
Sodrugestvo has committed to provide BRL200 million in working capital to
the joint-venture for its first year of operation. Carol-Sodru's objective is
to originate 3,000,000 metric tons of soybeans in the central northern region
of Brazil by 2015.
"Two years ago, we decided to develop our presence in Brazil both for the
origination and processing of soybeans and other commodities, and to achieve
access to one of the most dynamic markets in the world," continued Mr.
Frappat. "We are confident that we could not have found a better opportunity
to begin our industrial operations in Brazil on such a reasonable scale.
Sodrugestvo is proud to have been selected by CAROL as its partner during its
Carol-Sodru will operate 14 silos as well as 31 fertilizer, seed and
agro-chemicals distribution centers in the states of Sao Paulo, Goias, Minas
Gerais and Tocantins, three soybean seed selection units and one crushing
plant with a daily capacity of 1,250 metric tons.
About Sodrugestvo Group
Sodrugestvo Group (www.sodrugestvo.com), founded in 1994, is a
rapidly growing agro-industrial company serving global markets. The company
is vertically integrated with three business units - specialized
infrastructure (including deep-water sea ports), logistics (including
railcars and storage facilities) and processing facilities (for the
production of proteins and oils from vegetal and animal commodities). In
2010, Sodrugestvo crushed more than 1.1 million tons of soybeans and
rapeseed, making it a leading player in Northern, Central and Eastern Europe.
The company is also expanding into commodities trading and direct origination
Headquartered in Luxembourg, the company has 32 facilities located in
nine countries including Russia, Denmark, Brazil, the United States and
several Eastern European nations. With consolidated sales of $857 million in
its fiscal year ending June 30, 2010, Sodrugestvo has enjoyed average annual
growth of 15 percent or more for the last 10 years. Sodrugestvo employs 900
and is privately held.
This release is available online in the Feintuch Communications media
room located at www.feintuchcommunications.com.
Jules Abraham, +1-212-808-4904, jules at feintuchpr.com, or Savannah Tikotsky, +1-212-808-4903, savannah at feintuchpr.com, both of Feintuch Communications
Tags: December 8, Europe, Luxembourg And New York, New York, Sodrugestvo Group