Ukrainian agricultural holding Kernel, which announced about a buyout of 2022 eurobonds for up to $350 million on October 5, received applications for a total sum of $285.89 million by the term of early deadline and decided to satisfy all of them, according to the company’s report on the exchange on Tuesday, October 20.
These debut eurobonds of the agricultural holding were issued in January 2017 for five years for $500 million at 8.875% with a coupon of 8.75%. The purchase price was set at 105.625%.
At the same time, Kernel announced issuing eurobonds in the amount of approximately $300-350 million for a period of five or seven years. The organizers of the issue are JPMorgan, Credit Agricole и Natixis.
“The purpose of the tender offer is to proactively manage and lengthen the structure of the group’s debt by maturity by refinancing part of the bonds with new bonds with a longer maturity,” the report says.
The company confirmed that the early settlement is October 29. The deadline for accepting applications for exchange is November 2, however, after the early deadline, the settlement price is 102.625%. The final settlement date is November 5.
The redeemable Kernel eurobonds at the end of the day on October 19 were quoted at the rate of 105.544% of the face value, which corresponded to profitability of about 4.229%.
IMC agricultural holding in January-September 2019 saw $18.35 million in net profit, which is 43% less than a year ago.
According to a company report on the Warsaw Stock Exchange (WSE), revenue over the period grew by 46%, to $118.77 million.
Gross profit fell by 19%, to $48.54 million, and operating profit – by 42%, to $22.81 million.
Earnings before interest, taxes, depreciation and amortization (EBITDA) over the period fell by 21%, to $39.96 million.
As of September 30, 2019 noncurrent liabilities of the company totaled $108.95 million compared with $24.93 million as of late September 2018. Current liabilities reached $89.03 million ($81.39 million).
After the reporting period, IMC repaid loans and interest in the amount of $4.72 million and received loans in the amount of $2.85 million.
According to the document, revenue from the sale of corn for the reporting period increased 54%, to $93.34 million, wheat 2.2 times, to $12.77 million, soybeans 22%, to $2.22 million, milk 12%, to $1.13 million. At the same time, revenue from the sale of sunflower decreased 14%, to $7.52 million.
IMC specializes in growing grains, oilseeds and milk production in Ukraine. The agricultural holding processes about 130,000 hectares of land in Poltava, Chernihiv, and Sumy regions. It owns storage capacities of 554,000 tonnes of grains and oilseeds.
Agrovalley Limited, controlled by the chairman of the board of directors of IMC agricultural holding, Oleksandr Petrov, on December 28, 2018 acquired 156,500 shares of IMC S.A. (Luxembourg). According to a report by IMC on the website of the Warsaw Stock Exchange (WSE), the purchase price of one share was PLN12.8 ($3.41 at the rate of the National Bank of Poland on January 7). Agrovalley Limited after the transaction increased the total stake to 23.962 million shares.
IMC specializes in cultivation of grains, oilseeds and milk production in Ukraine. The agricultural holding cultivates about 130,000 hectares of land in Poltava, Chernihiv, and Sumy regions. It owns facilities to store 554,000 tonnes of grains and oilseeds.
Agricultural holding Myronivsky Hliboproduct (MHP) sold 135,307 tonnes of chicken meat in January-March 2018, which is 9% more than in the same period of 2017. The average selling price of the produce in Q1 increased by 23% year-over-year the year, to UAH 38.78 (excluding VAT) per kg, MHP said in a report on the website of the London Stock Exchange on Wednesday.
MHP’s poultry prices on the domestic market remained almost at the same level as in Q4 2017, but 23% higher year-on-year due to low comparative basis in Q1 2017. The export price increased by 17% year-over-year as a result of MHP’s export product mix change and increased sales to more profitable markets (market targeting strategy).
In Q1 2018, MHP’s exports of chicken meat constituted 63,144 tonnes, which is 28% higher than in the same period last year (Q1 2017: 49,151 tonnes), having exported its poultry to 53 countries worldwide. Export sales represented around 47% of total poultry sales volumes in Q1 2018. “During the reporting period, following its export strategy, the company has been developing its exports mainly in the countries of the MENA [Middle East, North Africa] and the EU,” the report said.
