Agrokor

completed

In March 2005, Agrokor acquired 52% of a large agricultural enterprise, Belje d.d., and 99% of a slaughterhouse and meat processing plant, PIK Vrbovec, through a privatization process. Belje, a 300-year-old company, is located in the Baranja province, and operates in food manufacturing (packaged meat and cheese), livestock, cropping, and flour/feed milling. PIK Vrbovec, located near Zagreb, is one of the largest meat companies in Croatia and is mainly involved in pig and cattle production, slaughter, and fresh and processed meat production. The project is to restructure, modernize and expand PIK Vrbovec and Belje.Belje and PIK Vrbovec have not been managed commercially in the past. They both lacked significant investment in productive assets, modern sales and marketing management, and a bottom-line oriented corporate culture. Agrokor has extensive experience in acquisitions and operational restructurings. Its strategy is to support the two companies with management capacity and investment to realize their commercial potential. The newly privatized companies present strong synergies among themselves and with other Agrokor Group subsidiaries. In addition to investments in staff and management (recruitment, training and MIS investments), the project will bring the currently run down productive assets up to standards, de-bottleneck and expand the production lines.