Soviet agricultural company

History

2023: Agroholding Tavros bought Soviet Agrofirm

On August 8, 2023, it became known that the structure of the Tavros agricultural holding became the owner of Sovetskaya Agrofirma LLC, a food egg producer in the Kirov region.

According to the Kommersant newspaper, the acquisition of the asset corresponds to the strategy of the Tavros group. The terms of the transaction were not disclosed, but it is noted that "the buyer and the seller expressed a desire to continue cooperation." The main assets of Tavros are concentrated in Bashkiria. According to the company itself, the group manages 117 thousand hectares of agricultural land, produces meat, sugar, and confectionery.

The Tavros structure was acquired by Sovetskaya Agrofirma LLC

Sovetskaya Agrofirma plans to produce 320-325 million eggs in 2023. The production of edible eggs for Tavros may be a new strategic direction. In 2022, the Agricultural Assets Management company, which is associated with Tavros on the market, acquired the Bashkirskaya poultry farm with a capacity of 750 million eggs per year from Cherkizovo for 2 billion rubles. In addition, it was said about Tavros's interest in buying the Komsomolskaya poultry farm in the Perm Territory with a capacity of 650 million eggs per year.

The Kommersant newspaper notes that many poultry farms specializing in edible eggs are experiencing difficulties as of early August 2023. The fact is that earlier seasonal price increases during periods of high demand, for example, at Easter, supported a business that usually operates with small profitability during the year, but in 2023 there were no noticeable price fluctuations.

It is noted that after the purchase of the poultry farm, Tavros may invest in the construction of a feed mill to provide the livestock with its own feed. In the current macroeconomic environment, rising food prices in general can increase investor interest in agribusiness. As of mid-2023, several poultry farms specializing in the production of eggs in different regions of Russia were put up for sale.^[1]

Notes