Signed agreement with Podravka and consortium of sellers of the company Žito d.d.

Ljubljana, 21 April 2015 – After successfully completed negotiations between Slovenski državni holding, d.d., (SDH) and the company Podravka, d.d., SDH concluded an agreement on its own behalf and together with the remaining consortium members on the sale of 183,386 (51.55%) shares of the company Žito, d.d. In addition to SDH, the agreement on the sale of shares of the company Žito, d.d., was also signed by other members of the consortium, i.e. Modra zavarovalnica, d.d., KD Kapital, d.o.o., KD Skladi, d.o.o., Adriatic Slovenica, d.d. and NLB Skladi, d.o.o. On the basis of a competitive sales procedure, the company Podravka, d.d., was selected as the buyer, having made the best bid, and bought a 51.5% share of the company Žito, d.d., at the price of EUR 180.10 per share, which means that the total purchase price for this share amounts to EUR 33,027,818.60. When the transfer of shares is completed, Podravka intends to submit a bid for the purchase of the remaining shares as per the Takeovers Act.

Upon today’s signing of the sales agreement between the consortium of rsellers of the majority package of shares of the company Žito, d.d., and Podravka, Janez Bojc, the president of the Žito Group management board said, “The owners of the company, combined in a consortium of retailers, already gave the initiative for the sale in 2013, and conducted the sales procedure. The company enabled the implementation of all the necessary technical steps during the sales procedure. Given that the procedures are long and demanding, we are happy that they are coming to an end.”

In addition to their involvement in the sales procedure, in 2014 the Žito Group achieved one of the best results in recent years. They increased turnover, exceeded the planned operating profit, and improved all key business indicators, including return on revenue, capital and assets, added value and EBITDA margin. The total sales turnover in foreign markets increased significantly, i.e. by 20% in comparison to 2013.

“Žito is in excellent form today,” said Bojc, and added, “We believe and hope that with the new owner we are gaining a long-term strategic investor which will be able to utilise the full potential of the company and common synergy effects in the food industry in the entire region.”

Representatives of capital on the supervisory board of the company Žito, d.d., (Milan Kneževič, Maja Makovec Brenčič, Adrijan Rožič in Rajko Stanković) submitted their resignations from their positions as members of the supervisory board, in the case of a successful completion of the sales procedure, i.e. on the day of the first general meeting after the completion of the transaction.

Additional information:
Nina Rus Turuk,
Public Relations, Žito Group
Telephone: 01 5876 120
E-mail: pr@zito.si

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