According to a company press release, Kernel Group (KER PW: N/R) plans to raise about USD 80 mln by selling new shares through an ‘accelerated bookbuild’ that closes today. The number of shares will be determined by the final price but will not exceed 10% of issued share capital. Anna Dudchenko: Today, Kernel’s management assured us that the farming division will be fully consolidated into Kernel Holding SA. We think the share issue was called to finance land acquisition by Kernel as an alternative to the joint venture with an undisclosed investor the company recently announced. The company currently controls 56 ths ha of land and plans to expand up to 250 ths ha. We estimate the value of current land at around USD 150-200 mln and believe it is mostly factored into Kernel’s current MCap. However, we expect news on further land bank expansion to be a trigger for the stock price.