Finnish company “HKScan” signed a contract for his Baltic sale of shares of subsidiaries AS “HKScan Estonia”, UAB “HKScan Lietuva” and AS “HKScan Latvia”, which produce products under the brand name “Rīgas miesnieks” Estonian for the company AS “Maag Grupp”, according to the announcement of “HKScan” on the stock exchange.
The content will continue after the announcement
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The amount of the expected transaction is 90 million euros.
“The sale of the Baltic business will enhance HKScan’s profitability and strengthen its balance sheet. In addition, the sale will enhance our ability to increase operational efficiency and execute our long-term strategy to become a versatile food company,” he says Juha Ruohola, interim CEO of HKScan.
The deal is expected to close in the second half of 2023 and is subject to regulatory approvals in Estonia and Latvia.
The business operations and personnel of the Baltic branches of “HKScan” will not be transferred to the new owner until the transaction is finalized.
“HKScan Latvia” worked with a turnover of 50.17 million euros last year, which is 2% more than in 2020, and the company’s profit increased by 14.4% and was 702,537 euros .
“HKScan Latvia” company was registered in 1992 and since 1998 is part of “HKScan” group. The largest shareholder of “HKScan Latvia” is Finnish “HKScan” (99.87%). The share capital of the company is 2,214 million euros. “HKScan” is one of the largest food manufacturing companies in the Nordic countries and includes meat processing companies in Finland, Sweden, Denmark and the Baltic states.
“Maag grupp” is an Estonian food company, which includes companies such as “Tere”, “Farmi Piimatoostus”, “Rannarootsi Lihatoostus”, “Pouttu”, “Avalon Foods” and others.
