FirstFarms A/S purchases 400 hectares rent contracts in East Romania

FirstFarms A/S has today entered into an agreement (SPA) about purchase of rent contracts with a duration of up to 10 years in East Romania.

The price for the rent contracts is DKK 2.5 million, and a positive contribution to EBIT of DKK 0.5 million is expected with full effect from 2021.

Anders H. Nørgaard says: "Value increase of our land portfolio is a large part of our business model. With this purchase, we will create synergies within our current operating areas. FirstFarms has a unique knowledge about operation and development of land along with purchase, storage and sale of crops. With this agreement, we strengthen our platform further, especially in East Romania where FirstFarms has silo capacity for 20,000 tons of crops."

Entering this agreement, FirstFarms operates 21,000 hectares, of which 10,000 hectares are owned.

At the end of 2019, FirstFarms has a booked land value of DKK 346 million with an assessed market price of DKK 615 million before tax. The expected added value of more than DKK 250 million is not included in the company's booked equity.

             
Best regards,
FirstFarms A/S              

For further information: 

Please see our website www.firstfarms.com or contact CEO Anders H. Nørgaard on telephone +45 75 86 87 87.

Facts about FirstFarms A/S:
FirstFarms is a Danish public limited company with approx. 2,700 shareholders. FirstFarms acquires, develops and manages business in the area of agriculture and food products in Europe.

FirstFarms is operated with responsibility for the surrounding communities and delivers the highest quality, which is primarily sold locally.

FirstFarms works every day on creating a more sustainable company.

The activities are in agricultural companies in The Czech Republic, Slovakia, Romania and Hungary.

FirstFarms operates a total of 21,000 hectares, of which 10,000 hectares are owned. FirstFarms has 2,700 milking cows and 2,500 young stock, 4,800 sows with a yearly production of 167,500 piglets for own slaughter pig production and the local marked and 88,500 slaughter pigs.

FirstFarms employs more than 300 employees.

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(32) FF purchases lease contracts in East Romania

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