Dakor Agro Holding plans Warsaw listing in 2010

Dakor Agro Holding is planning a listing on the Warsaw Stock Exchange in 2010, following the successful merger of Land West agricultural company (4K1A GR) and Dakor (DAKOR), Interfax reported yesterday, citing Land West Chairman Mikhail Korilkevich. According to Korilkevich, current shareholders of Land West will hold about 20% of the new entity and those of Dakor – the remaining 80%. The two companies first reported about a potential merger in March 2009. The combined company is expected to control 300 ths ha of land. Andriy Gostik: After the merger and listing in Warsaw, we expect the new stock to be much more liquid than the predecessor stocks. This should be due to both the larger size of the new company and advantages of the Warsaw Stock Exchange. Another sugar and agricultural company listed in Warsaw, Astarta Holding, gives us a basis for such a judgment. As to the effect of the merger on minority shareholders, we believe those of Dakor will be at more advantage, controlling 80% in the combined company. At the time of Land West’s placement, the company was valued higher than Dakor.