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Romania's Holde Agri Invest grows 9-mo net profit

Romania's Holde Agri Invest grows 9-mo net profit Source: Holde Agri Invest

BUCHAREST (Romania), November 26 (SeeNews) - Romanian agribusiness company Holde Agri Invest [BSE:HAI] said on Fiday that its net profit jumped 77% year-on-year in the first nine months of 2021.

Holde Agri Invest's net profit reached 2.6 million lei ($589,600/ 525,300 euro) in the first nine months of 2021, while consolidated turnover rose by an annual 78% to 46.8 million lei in the review period, the company said in a press release.

Holde also said that it has already signed contracts for the purchase of some 3,000 hectares, which are in the process of technical audit and completion of acquisition transactions. If completed according to plan, the company will start next year with a portfolio of approximately 13,000 hectares of land and four core farms. Simultaneously with the area expansion, Holde said it is also considering additional investments in equipment, silos and irrigation systems.

During the first nine months of 2021, the company managed almost 8,500 hectares in its three farms – Rosiori, Frumusani, and Videle, of which approximately 1,900 hectares were farmed organically. Over 28,000 tonnes were harvested.

During the January-Setember period, Holde Agri Invest carried out an investment program of 40 million lei financed from its sources and loans, respectively, bank loans and financial leasing contracts. The investments aimed at completing the acquisitions for Videle and Agro Fields Future farms, land acquisitions, technological equipment, means of transport, and the development of silage capacity setup. The company also invested in the AgroCity app and acquired a minority stake in Enten System, an agricultural technology company. In addition, Holde made the first investment in an irrigation project on 125 hectares on the Frumusani farm.

Holde's shares traded 2.08% lower at 1.6450 lei as at 1312 CET on Friday on the AeRO market.

AeRO is the Bucharest bourse's alternative trading system designed for listing of early-stage companies, start-ups and small and medium-sized enterprises.

(1 euro = 4.9491 lei)