On June 7, 2023, AB "Kauno grūdai" signed a purchase and sale agreement with the shareholders of the cooperative company "Grybai LT."
The transaction will be completed only if approval is obtained from the Lithuanian Competition Council to carry out the concentration, and other conditions customary for such transactions are met.
Operating in Širvintos with over 40 employees, this company manages a modern robotic factory producing ready-to-eat organic soups, stews, and vegetables in pouches. The company produces 8-9 million pouches of various products annually, exported to more than 30 countries.
The brand "AUGA" itself is invaluable. The purchase includes the production base, production recipes, and contracts with buyers.
"Grybai LT" will complement the business scheme and activities of "Kauno grūdai" excellently. The produced goods will open up new markets for other products manufactured by "Kauno grūdai."
In the segment of consumer food products, "Kauno grūdai" is not a newcomer and has popular brands. However, they did not have an offering of organic food products until now. Acquiring the company, they immediately considered expansion. Over the next 5-6 years, they plan to invest an additional EUR 4.4 million, expand maximum production capacity to 33 million pouches or 11 thousand tons per year, and increase annual EBITDA from EUR 1.3 million to EUR 6 million, according to A. Pranckevičius. He emphasizes that the value of this acquisition will be revealed through synergy with other activities.