Jago frozen food distributor is about to acquire a third company

MG
opublikowano: 2008-02-08 17:09

Warsaw (Puls Biznesu) – Jago, the listed distributor of frozen food, has signed the third letter of intent with a rival company. If all transactions are concluded, Jago will become a leader on the market.

 Jago wants to build a group which will be theleader on the Polish market of frozen food distribution. In the middle of January, the company said it was planning a merger with a rival. It is probably Chlodnia Lodz but the company does not confirm this. A week later, Jago said it was planning to acquire a rival company. Again the name was not made public. Now, Jago plans to buy a producer and distributor of frozen products. This is a bigger firm than the previous ones.
“The company with which we have just signed a letter of intent has sales three times higher than ours (in 2006, Jago had PLN 133m, or EUR 33.7m of sales). It suits us well because it is strong in the sector of bars, restaurants and hotels”, Wojciech Antkowiak, Jago CEO said.

Details of the transaction will be announced till the middle of May at the latest.

If all three transactions announced this year are concluded, Jago will increase sales to half a billion zloty and become the leader on the Polish frozen food market leaving behind Iglotex, today’s leader.

“We may sign yet another letter of intent in upcoming weeks. Then, the sales of the group will grow to PLN 700”, Wojciech Antkowiak estimated.

Yesterday, Jago shares grew 4.5 percent to PLN 3.97.

(PLN 1 = EUR 0.276)