Last checked at 27 May 2014 07:00
For immediate release | 27 May 2014
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Genus plc
("Genus" or the "Group")
Update on Shennong Joint Venture in China
Genus, a leading global animal genetics company, announces that it has agreed with Yunnan Shennong Agricultural Group Co. Ltd. ("Shennong'') that Genus and Shennong will not proceed with the establishment of a joint venture at the present time.
Shennong, an integrated pork processor in the Yunnan province in China, had planned to expand its pig production operations. On 25 February 2013, Genus announced that it had signed an agreement with Shennong for the establishment of a new joint venture, to build and operate a 1,000 sow nucleus farm to support Shennong's expansion.
Due to the previously announced current adverse market conditions for pig production in China, Genus and Shennong have now decided not to proceed with the planned joint venture. No investment had yet been made by either party in the joint venture as land on which to build the farm took time to identify. Shennong and Genus will continue to discuss future collaboration opportunities as market conditions in China develop.
Shennong is continuing to use PIC genetics in its existing pig production and remains a valued customer of Genus in China.
For further information please contact:
Genus plc | Tel: 01256 345970 |
Karim Bitar, Chief Executive |
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Stephen Wilson, Group Finance Director |
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Buchanan | Tel: 0207 466 5000 |
Charles Ryland /Sophie McNulty |
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This announcement is available on the Genus website www.genusplc.com.
About Genus
Genus creates advances to animal breeding and genetic improvement by applying biotechnology and sells added value products for livestock farming and food producers. Its technology is applicable across all livestock species and is currently commercialised by Genus in the dairy, beef and pork food production sectors.
Genus's worldwide sales are made in seventy countries under the trademarks "ABS" (dairy and beef cattle) and "PIC" (pigs) and comprise semen and breeding animals with superior genetics to those animals currently in production. Genus's customers' animals produce offspring with greater production efficiency, and quality, and use these to supply the global dairy and meat supply chain.
The Group's competitive edge has been created from the ownership and control of proprietary lines of breeding animals, the biotechnology used to improve them and its global supply chain, technical service and sales and distribution network.
With headquarters in Basingstoke, United Kingdom, Genus companies operate in thirty countries on six continents, with research laboratories located in Madison, Wisconsin, USA.