Agricover Holding SA announces the approval of the offer prospectus by the Romanian Financial Supervisory Authority

Agricover Holding SA, a prominent player in the agribusiness market in Romania, announces that the Prospectus prepared for the Initial Public Offering (“IPO”) of up to 833,333,333 of newly issued and existing shares in the Company has been approved by the Romanian Financial Supervisory Authority (“FSA”) through the Decision no. 422 dated 3 May 2023.

Thus, in the period 4 May – 16 May 2023, the Company will carry out together with some of its shareholders an IPO. The IPO includes a maximum number of 277,777,778 new ordinary shares issued by the Company as a part of a share capital increase, as well as up to 555,555,555 existing ordinary shares held by its current significant shareholders, Mr. Jabbar Kanani and the European Bank for Reconstruction and Development.

The Offer consists of a public offering to institutional and retail investors in Romania and an offering to eligible investors outside Romania, in accordance with the provisions of the Prospectus. Following the successful closing of the Offer, Agricover intends to apply for admission to trading of all the Company’s shares on the regulated market operated by the Bucharest Stock Exchange (“BSE”). WOOD & Company Financial Services, a.s is acting as Sole Global Coordinator and the Bookrunner for the Offer. S.S.I.F. TRADEVILLE S.A. is acting as the Retail Agent for the Offer.

The prospectus approved by the Romanian FSA is available on Agricover website, HERE.

Agricover Group was founded in 2000 by local entrepreneur Mr. Jabbar Kanani. In 2017, the European Bank for Reconstruction and Development became a significant institutional investor in Agricover Holding S.A., currently holding 12.727% of the Company’s share capital. Additionally, in 2019, Adama Agriculture BV became a significant strategic investor in Agricover Distribution S.A., holding 10% of the subsidiary’s share capital. With 22 years of industry experience and an entrepreneurial approach to business development, the Group comprises today companies that serves the Romanian agribusiness sector by addressing essential farmer needs. Through its subsidiaries, the Group provides farmers with a range of integrated agricultural inputs, financing, and digital solutions intended to increase farming productivity, reduce operating costs, finance activity and growth, and develop efficient and sustainable agricultural business models.

The Group has two main business segments: agricultural inputs distribution, carried out by Agricover Distribution S.A. (“Agribusiness”), and specialized financing for farmers provided by a non-banking financial institution, Agricover Credit IFN S.A. (“Agrifinance”). The two main segments jointly generate most of the Group’s revenue and operating results.

In 2021, the Group expanded its service portfolio by launching a “one-stop-shop” digital platform called crop360, operated by Agricover Technology SRL. This platform offers farmers the latest digital innovations in global agriculture as well as integrating online sales and banking interactions with the Group’s customers. Through crop360, the Group provides a seamless experience for all its customers, simplifying the process of accessing the necessary agricultural inputs and financial resources while leveraging technology to drive growth and sustainability.