18 Nov 2010 08:24
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November 18, 2010 |
AVANGARDCO INVESTMENTS PUBLIC LIMITED (the "Company" or "Avangard")
CLARIFICATION FOLLOWING RECENT PRESS REPORTS
KYIV, UKRAINE - Following recent press reports, notably in the Ukrainian publication RBC, Avangard (LSE: AVGR) clarifies that it has no plans to purchase cattle or to diversify its business in this direction. All reports of this nature referred to Avangard Chairman Oleg Bakhmatyuk's other business interests, which are not connected to Avangard.
Avangard reiterates that the proceeds raised from its recent bond issue will be used to pay down debt, including a bank loan to Public Joint-Stock Company "Commercial Bank "Finansova Initiatyva", and will go towards expanding operations at its Imperovo egg processing plant.
Avangard will keep bondholders and shareholders notified of any future developments.
Notes to Editors
Information of Avangard
The Company is a holding company for a group (the "Group") that is one of the leading agro-industrial companies in Ukraine, focusing on the production of shell eggs and egg products. Avangard is the number one producer of shell eggs and dry egg products in Ukraine with a market share of approximately 23% (including 39% of industrially produced shell eggs) and 52% respectively in 2009. As of 30 June 2010, Avangard's flock consisted of approximately 18.6 million. birds. Avangard's production facilities are located across 14 regions in Ukraine and also in the Autonomous Republic of Crimea. In 2009 Avangard exported its shell eggs and egg products to 16 countries mainly in the Middle East and Asia. In 2009 The Company generated revenue of USD $319.855 million (2008: USD $302.292 million), EBITDA of USD $152.092 million (2008: USD $113.738 million). Avangard's shares listed on the Main Market of London Stock Exchange in May 2010.
Avangard is in the process of a significant expansion of its facilities through the construction of the Avis and Chornobaivske egg production complexes in the Khmelnytsk and Kherson regions, respectively, which are each expected to have a design annual capacity of 840 million shell eggs, when fully operational.
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