EBRD BUYS EQUITY STAKE IN ARMENIAN MEAT PRODUCER
RIA Oreanda
May 21 2008
Russia
Moscow. OREANDA-NEWS . May 19, 2008. The EBRD is acquiring a 28,3
percent-stake in the Armenian meat producer NatFood CJSC for //$4
million. The funds will be used for expanding business by building new
production facilities with state-of-the-art equipment in compliance
with international quality standards, reported the press-centre
of EBRD.
The Armenian market for processed meat is growing rapidly and the
companys strategy is to become a leading player. The emergence of a
middle class who can afford and ask for products of better and safer
quality is seen as a special opportunity. The companys products,
sold under the Biella brand name, already enjoy high reputation on
the local market.
NatFood was established as a spin-off of the meat processing business
of Valletta LLC. Valletta was founded in 1999 as a trading group by
the local entrepreneur Henrik Zakharyants, who was previously the
sole owner. It has since grown into a wide-ranging business group,
including wholesale, retail and food processing.
EBRD First Vice President Varel Freeman said the Banks acquisition
of an equity stake showed our confidence in our new partner. We
have been very impressed by the strong performance of the company
over the past years and we will now support its further development
and strengthening.
Armen Khudinyan, CEO of NatFood, added: Having the EBRD on board in the
truest sense of the word – is a massive boost for our enterprise. It
does not only strengthen us financially but we will also benefit from
the Banks expertise and know-how in our country and region.
To-date, the EBRD has invested more than 170 million in 50 projects
in all sectors of the Armenian economy.
The strong growth in recent years has also resulted in higher demand
for EBRD finance.
From: Emil Lazarian | Ararat NewsPress
