Ukrainian poultry giant Myronivskyi Khliboprodukt or MHP is set to acquire a 90 percent stake in Perutnina Ptuj, a leading producer of poultry based in Slovenia.
Slovenian steel manufacturer Slovenska Industrija Jekla has confirmed that it plans to sell their majority stake in Perutnina Ptuj to MHP for an undisclosed price. The steel company further stated that MHP is seeking approval from Slovenia’s competition authorities to move ahead with the acquisition.
MHP said in a statement that the acquisition would consolidate Balkan poultry production under the MHP brand and that their priority would be bringing Perutnina Ptuj’s production base up to “the highest EU standards,” while also bringing benefits to farmers and the Balkan poultry industry.
Representatives of the Myronivka-based agricultural holding couldn’t be reached for comment at the time of writing, but MHP confirmed in a statement on Sept. 26 that they were seeking to acquire Perutnina Ptuj and had started the process.
MHP has in recent years seen its production, sales and exports consistently up. Some observers speculate that the company plans further expansion through more strategic acquisitions.
Last week, a senior investment banker close to MHP – who asked not to be named as he is not authorized to talk to the press – said further negotiations with a focus on mergers and acquisitions were currently taking place at MHP.
He said company bosses were in M&A-focused talks with Thai poultry giant Charoen Pokphand Foods, one of the world’s biggest producers of poultry-based products.
In response to questions about the talks, Anastasiya Sobotyuk, MHP’s Director of International Communications, said in an email that “MHP is not considering an M&A of any Thai poultry producer” but didn’t elaborate further.
MHP is Ukraine’s largest producer of poultry-based products and eggs with a current national market share of about 80 percent, according to recent data from the Poultry Union of Ukraine.
The company produced about 570,000 tons of chicken in 2017 and roughly half was sent for export, MHP Chairman Yuriy Melnyk said in a recent interview.
Perutnina Ptuj has two million customers in the Balkan region and subsidiary companies in Croatia, Serbia, Bosnia and Herzegovina, Austria, Macedonia and Romania, according to their website.
Earlier this year, MHP attempted to acquire the French poultry company Doux and was ready to invest up to 100 million euros into the ailing company. After a bidding war, French regulators instead approved a joint takeover proposal submitted by LDC and the Saudi Arabian food group Al Munajem, as reported by TradeArabia news agency.
