Saudi Agriculture and Livestock Investment Company (SALIC) intends to invest in the joint agricultural business of Sistema and members of the Louis-Dreyfus family
Moscow, Russia – 5 October 2017 – Sistema PJSFC (hereinafter “Sistema” or “the Corporation”) (LSE: SSA, MOEX: AFKS) announces that Saudi Agriculture and Livestock Investment Company (SALIC) is considering investing in RZ Agro Holding Ltd, a joint venture of Sistema and members of the Louis-Dreyfus family.
The corresponding Memorandum of understanding was signed at the Russian-Saudi Business Investment Forum held on 4-5 October 2017 in Moscow. The parties will discuss the structure and parameters of the potential deal after the due diligence of RZ Agro Holding Ltd.
RZ Agro Holding is a major producer of grain and oil crops in southern Russia with a land bank of 106,000 hectares. It is controlled jointly by Sistema and members of the Louis-Dreyfus family, holding equal stakes. It currently comprises seven farms grouped into three regional clusters in the Rostov and the Stavropol regions.
For further information, please visit www.sistema.ru or contact:
Tel.: +7 (495) 730 66 00
Tel.: +7 (495) 228 15 32
Sistema PJSFC is a publicly traded diversified Russian holding company serving over 150 million customers in such sectors as telecommunications, retail, paper and packaging, agriculture, high technology, banking, real estate, pharmaceuticals, tourism and healthcare services. The company was founded in 1993. Its revenue in 2016 reached RUB 697.7bn; its total assets equalled RUB 1.1tn as of 31 December 2016. Sistema's global depositary receipts are listed under the “SSA” ticker on the London Stock Exchange. Sistema’s ordinary shares are listed under the “AFKS” ticker on the Moscow Exchange. Website: www.sistema.ru
SALIC (Saudi Agricultural and Livestock Investment Company) is a Saudi joint stock company that is owned by the Public Investment Fund of the Kingdom of Saudi Arabia. Its statutes state that its activity is in the field of investments in agricultural and livestock production in countries that have a competitive advantage in contributing to the production of selected food goods and their availability for export markets. As a specialist in the field of investments in agriculture and livestock production and supply, SALIC, which has operated since the year 2012, aims to engage in the full supply chain for selected agricultural and livestock goods worldwide. The SALIC strategy focuses on nine product categories: wheat, barley, corn, soy bean, rice, sugar, vegetable oils, green fodder, red meat, milk products, poultry and aquaculture.