Krasnobor

Krasnobora is an agricultural holding in Russia that produces a large range of turkey products. The enterprise as of January 2021 consists of several bird fattening sites, as well as two processing plants.

History

2021: Cherkizovo bought Krasnobor for 1.9 billion rubles

Cherkizovo bought the manufacturer of Krasnobor turkey for 1.9 billion rubles. This was announced by the companies on December 27, 2021.

According to the press release, the seller of the 57.7% stake in Krasnobor was the Russia Partners fund, the founder of Krasnobor Arkady Levin sells 24.5%, 17.8% are redeemed from minority shareholders. The transaction amount of 1.9 billion rubles includes the company's debt obligations in the amount of 600 million rubles. The deal has already received the approval of the Federal Antimonopoly Service of Russia.

Cherkizovo acquired Krasnobor for 1.9 billion rubles

Commenting on the purchase of Krasnobor, Cherkizovo CEO Sergei Mikhailov noted the following importance of the transaction: the group will be able to engage in the production of turkey in the Tula region - a region that is becoming increasingly important in the Cherkizovo business. According to Mikhailov, in the coming years, the company will build a large meat processing cluster in the region. Cherkizovo is counting on a good synergistic effect of the Krasnobor sites with the group's new enterprises, he added.

By the end of 2021, Krasnobor owns turkey cultivation and production sites in the Leninsky and NovDonbass districts of the Tula region. The company has a wide range of products under the Krasnobor brand and ranks third in the Russian turkey market, producing 27.2 thousand tons in live weight in 2020.

Cherkizovo Group produces meat products under the brands Cherkizovo, Petelinka and Chicken Kingdom. In 2020, Cherkizovo, according to the company's report, was the largest Russian producer of poultry meat with a market share of 14% and ranked fourth in pork production with a share of 6%. In the turkey segment, the group accounted for 15% of all production of this type of meat in Russia.

The second place in the turkey meat market belongs to the Tambov Turkey enterprise (Pava-Pava brand), which is part of the Cherkizovo group^[1]

Notes