Greenyard has managed to complete the sale of their Horticulture division earlier than expected. The Belgian investment group, Straco, is the new owner of the segment, which includes Mycoculture. This company acquired the division for EUR120 million.
Horticulture is called the market leader in its segment in Belgium, France, Poland, and Ukraine. It specializes in cultivation media and mushroom substrates. This division exports to 60 countries and has 14 production locations in Europe and Russia. All these activities are being taken over by Straco.
The deal will be closed well before the end of the 2018/2019 financial year. The transaction was completed after successfully obtaining all regulatory permissions as well as government approval.
This sale decreases Greenyard net debt with its total proceeds of EUR120 million. This is a significant step for the Belgian multinational toward achieving a debt ratio on their balance sheet. They need to reach the new convenant level of 4,25x (net financial debt/REBITDA) by March 2019. This step was announced earlier.
Greenyard and Horticulture want to continue working closely together in the future. According to a press release, "Both companies are striving for an increase in fruit and vegetable consumption. This is aimed at creating a healthier future. They enter into partnerships with the best partners in the chain, from field to fork."
"In this way, they want to meet consumers' needs and create value for everyone in the chain. Both companies are focused on innovation in the global cultivation of fruit and vegetables. They want to develop sustainable cultivation concepts," reads the press release.