UkrLandFarming (ULF), the largest Ukrainian integrated agricultural group, announced this week that Cargill has become a registered shareholder with a 5% stake in its company.
Cargill and UkrLandFarming seek to enhance and develop their relationship through business opportunities that will prove beneficial to both parties.
In a statement on the company’s website, ULF said it is supplying Cargill’s grain needs in Ukraine, while Cargill, in turn, provides financial terms to ULF to secure the supply.
“The agreement with Cargill indicates an important step for UkrLandFarming in developing our international presence and export potential,” said UkrLandFarming chief executive office Oleh Bakhmatyuk. “It signals of not only significant potential of Ukrlandfarming but the Ukrainian agricultural sector as a whole to the World. We look forward to developing further relationships with Cargill.”
Several other projects are being discussed between Cargill and ULF, including logistics. While the companies will continue to enhance the new arrangement, Cargill does not intend to become involved in ULF operations.