August 5, 2008

Nutreco buys feed company Biofaktory in eastern Europe

Nutreco has acquired Biofaktory, a premix and specialty feed company with production facilities in the Czech Republic and Slovakia for approximately EUR 10 million (US$15.5 million).

Biofaktory is the market leader in premix and specialty feed in the Czech Republic and in Slovakia. The company also exports to other countries in Central and East Europe.

Annual revenues for the company is close to EUR 40 million (US$62.1 million).

The company is capable of facilitating tailor-made animal feed production from clients.

Biofaktory also holds a 54 percent shareholding in Integra, a small layer pullet and hatchery.

Juergen Steinemann, Nutreco's Chief Operating Officer, said the acquisition offers Nutreco a market leader position in the Czech Republic and Slovakia while strengthening its business model of supplying feed specialities, know-how and services to customers in Central and Eastern Europe.

Joining forces with Trouw Nutrition International, Nutreco's feed specialities subsidiary, adds substantial scope for cost and sales synergies, he added.