6 March 2023
Agreement on sale of assets to the buyers related to Andriy Verevskiy was signed in April 2022, as a result land bank of Kernel will decrease by 134k ha.
Kernel obtained consent from its creditors to sell part of its assets in grains growing segment. As a result of this sale total land bank of Kernel is to decrease from almost 500k ha to about 360k ha.
Buyer is a company related to main Kernel’s shareholder – Andriy Verevskiy, amount of the deal - $210 mln.
Initial agreement was signed almost a year ago – in April 2022. Initial explanation was that with this deal the group should improve its liquidity position and avoid issues due to impossibility to export grains and sunflower oil through deep sea Ukrainian ports.
As of 31.03.22 Kernel’s cash balance stood at $373 mln , as of 31.12.22 - $679 mln.
Debt burden of the company during calendar Y2022 has been quite stable – at about $1.5 bln.