MHP buys grain growing facilities

Mironivskiy Hliboproduct (LSE: MHPC LI) announced this morning in an RNS news release that it acquired 100% shares of Prodaliance LLC and Agricultural Kanivske LLC, which were engaged in grain cultivation in Cherkasy region. The two new acquisitions controlled more than 4.5 ths ha in total. CEO Yuriy Kosyuk said the takeovers were part of the company’s plans to increase its grain output by expanding its land bank to 300 ths ha over the next few years. MHP’s land bank is currently ~200 ths ha. In other news, the European Bank for Reconstruction and Development, in a project summary posted on its website, said that its board would consider granting a USD 50 mln loan to JSC Mironivskiy Hliboproduct, a subsidiary of the London-listed holding company, to finance working capital associated with expanding operations and energy efficiency improvements at existing production facilities. The EBRD board is due to vote on the project on May 6.