UkrLandFarming retracts from US poultry expansion
Ukrlandfarming, the largest Ukrainian agricultural holding, has officially cancelled plans to expand production in North America.
The owner of the company, Oleh Bakhmatiuk, has recently decided to sell all assets in US poultry processing that had been acquired in 2011.
"We won’t launch production in the United States, we'll put the assets up for sale, it does not matter how much will be paid for the assets," he told at the recent press-conference on March 30, 2013, adding that there is a certain amount of interest in the assets.
According to the report, the sale included its subdivision in North Carolina, with headquarters in Georgetown, Delaware, and other assets for $24.9 million.
The owner of Ukrlandfarming said that he bought the assets expecting that the domestic production market in the United States would revive, although due to actions of Brazilian and other South American producers the poultry market in the United States has become oversaturated.
Bakhmatiuk said that after the acquisition of the US assets he sent funds there to pay for current liabilities, and at present a bankruptcy procedure has been announced to finish the processes.
To comment, login here
Or register to be able to comment.