The board of directors of Agrokultura AB (publ) has resolved to convene an extraordinary general meeting at which the board of directors intends to seek authorization to issue a maximum of 20 991 342 shares with deviation from the shareholders’ preferential rights. The board of directors intends to announce the date for the notice and the exact time of the extraordinary general meeting shortly. Background and motivation The board of directors has, in order to deliver the company’s shareholders’ expectations, committed to a strategy to proactively compare the value of the company as a going concern towards the value that an outside buyer is ready to pay for the shares, the assets or a combination of the two. More concretely, this entails realizing the previously announced cost reduction program, exploring strategic alternatives for the Ukrainian as well as the Russian business, sale of non-core assets, focusing on increasing crop yield and reinforcing the internal processes. In conjunction with the half-year report which will be published on 28 August 2014, a full statement will be made on the business, which will include an update on the cost reduction program and a progress report for the year’s harvest. Additionally, the company will report on the buyer interest relating to the Ukrainian operations in the light of recent political developments. As previously announced, Agrokultura AB (publ) has received information that the company’s largest shareholder has entered into an agreement regarding the off market sale of its entire holding to an undisclosed buyer at the price of SEK 3.75 per share. Although a significant premium to the current market price, it is significantly lower than the last reported book value of SEK 6.80 per share. The company has also received unconfirmed reports that the same buyer is currently looking to build up a significant ownership position through other off market transactions. Repeated attempts have made been during the past week to get in touch with the new owner in order to understand the new buyer’s potential intentions. These attempts, to date, have been inconclusive. In the light of the above, the board of directors of Agrokultura AB (publ) wishes to take measures to ensure equal treatment of all shareholders with the aim to give them the benefit of the company’s true value. Stockholm on 21 July 2014 For additional information, please contact: Investor Relations + 44 203 427 3983 or + 46 730 43 08 84 About Agrokultura AB (publ) Agrokultura invests in farmland and produces agricultural commodities in Russia and Ukraine. The Group aims to generate an attractive return on invested capital by optimally utilizing its agricultural land bank through crop production, livestock and related operations. Shares in Agrokultura are listed in Sweden on the Nasdaq OMX First North exchange under the ticker AGRA and the Group’s Certified Adviser is Remium Nordic AB.
Extraordinary general meeting of Agrokultura AB (publ)
| Source: Alpcot Agro AB