The company has an ambitious growth strategy and has initiated a study in order to expand its production capacity.
Lamb Weston / Meijer, one of the world's leading potato producers, has strengthened its position on the frozen processed potato market in Russia by acquiring a controlling interest in an existing joint venture with the Belaya Dacha Group of Companies. The joint venture owns the largest factory producing French fries.
Peter van Vouwe, CFO of Lamb Weston / Meijer:
"In 2016, we created a joint venture with the Belaya Dacha исследование, because both sides spotted unique opportunities in the fast-growing Russian market".
"Now, after four years, we are pleased to increase our share and look forward to supporting our Russian customers and international key customers in optimizing their value creation and developing their business."
This agreement is based on successful cooperation with the Belaya Dacha Group of Companies, started in 2016. At the time, the launch of a large-scale potato processing plant - the first major french fries plant in Russia - was the key priority for the joint venture partner.
The initial joint venture partnership established that the Belaya Dacha Group would have a majority shareholding, while Lamb Weston / Meijer would be able to increase its ownership over the years.
The current deal calls for Lamb Weston / Meijer to increase its ownership interest in the joint venture up to 74.9% from its original position of 35.5%.
Belaya Dacha shareholder Vladimir Tsyganov will continue successful partnership, holding a minority stake.
The transaction is approved by the Federal Antimonopoly Service (FAS) of Russia.
