Dutch feed cooperative Cehave Landbouwbelang said its Hungarian unit Kabai Táp signed a contract to buy peer Pannonmill-Takarmány.
The transaction will be closed pending approval by the Hungarian competition office GVH.
The seller is Pannonmill, part of the Austrian LLI group. LLI group decided to sell Pannonmill-Takarmány, its Hungarian animal feed division, in 2008 to clean its profile.
With the acquisition, Cehave Landbouwbelang's feed capacity in Hungary will rise to an annual 200,000 tons.
Pannonmill-Takarmány has a production capacity of more than 70,000 tonnes of compound feed, and it employs 70. Its annual sales reach more than €20 million, and it has its own premix production unit in Környe.
Cehave Landbouwbelang also owns Hungarian premix and prestarter company Vitamex. (MTI – Econews)