Land West and Dakor form Dakor Agro Holding

In a joint press release yesterday, Land West (4K1A GR) and Dakor (DAKOR) said they have merged into Dakor Agro Holding, according to Interfax. Daniel Korilkevich holds 75.81% of the new holding and minorities will control 24.19%. Minority shareholders of Land West are offered to convert their holdings into Dakor Agro Holding shares at a coefficient of 0.127151 and Dakor shareholders at 0.811009. Following the conversion of minority shareholder stakes, the new company will have issued 261,700 shares to Land West shareholders and 1,046,800 shares to Dakor shareholders. The company announced plans in August to list on a major European stock exchange – it is currently looking at Warsaw. Land West and Dakor first announced they were exploring a merger in March 2009. The combined company controls 163 ths ha of land. Andriy Gostik: The merger came as expected, based on management’s previous guidance. As we wrote before, we believe that the merger is to the advantage of minority shareholders in Dakor rather than those in Land West, as at the time of Land West’s placement, the company was valued higher than Dakor, whereas in the new company, Land West’s shareholders will only have 20%.