Dakor to increase cultivated land under lease to 150 ths ha by 2010

Dakor (DAKOR: BUY) is planning to increase its cultivated land under lease by 37 ths ha to 150 ths ha by 2010 said Ihor Ivaschenko CEO yesterday. Currently, Dakor is cultivating 113 ths ha of land in Rivne, Ternopil, Lviv and Ivano-Frankivsk regions. According to Ivaschenko, the company will likely acquire more land in the same regions. Dakor also intends to raise its sugar production by 45.2% yoy to 154 ths mt in 2008, which implies a 12% market share. Olha Pankiv: Dakor has upgraded its previously announced plans for land under cultivation (~120 ths ha) by 1.3x. If the land expansion plans are implemented, the company’s sales will be 7-10% above the USD 165 mln we projected for 2010. We confirm BUY on the stock.